A judge on Monday delayed a ruling on whether to confirm a plan by Momentive Performance Materials, a quartz and silicone maker owned by Apollo Global Management, to cut $3 billion in debt and exit bankruptcy, Reuters reported yesterday. Hon. Robert Drain, who had been expected to read his ruling from the bench on Monday, told parties that he would hold off until Tuesday as the company tries to resolve certain objections to its plan. It was the second time that Judge Drain has postponed the ruling, which was initially expected last week. Momentive filed for chapter 11 in April with an agreement to transfer control to a class of bondholders who would participate in a $600 million rights offering. The key objection comes from more junior bondholders, led by U.S. Bank NA as trustee, who would recover nothing under the plan. Owed some $382 million, the group cannot be treated worse than the bondholders participating in the rights offering, U.S. Bank stated.
