Flying Star’s owners no longer have a creditor-backed challenger vying for control of the Albuquerque-based cafe chain, the Albuquerque Journal reported yesterday. The unsecured creditors’ committee has agreed to withdraw a reorganization plan that would involve selling Flying Star as a going operation to Southwest Brands. As part of a settlement, the committee also has agreed not to challenge a reorganization plan proposed by Flying Star owners Jean and Mark Bernstein, which does not necessarily mean the their plan will get confirmed by a judge. It must still go out to individual creditors for vote. The committee itself — comprised of three Flying Star creditors — has ended what had become a rancorous battle over the future of the chain, which filed for chapter 11 protection in January 2015.
