Senior Care Centers LLC, which operates about 110 facilities in Texas and Louisiana, took its first steps under bankruptcy protection during its debut hearing yesterday, WSJ Pro Bankruptcy reported. Judge Douglas Dodd of the U.S. Bankruptcy Court in Dallas said that he would give a green light to the operator of the hospice, skilled-nursing and assisted-living facilities to begin using its lenders’ cash collateral, pending certain changes, to keep day-to-day operations running smoothly. The Dallas-based company filed for chapter 11 protection on Tuesday, saying that at this time, it doesn’t need any additional financing to help get it through bankruptcy. It said that it plans to tap existing cash collateral from secured lenders that include CIBC Bank USA, CIT Finance LLC, MB Financial Bank NA, Bankers Trust Co., Wells Fargo Bank NA and Compass Bank. Senior Care has total liabilities of $267.9 million. That includes $45.6 million in principal and interest outstanding under a credit facility consisting mostly of more than $33 million owed on a revolving loan on which the group of banks holds liens.
