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LightSquared Inc. reached an agreement with one group of lenders for a loan and is in talks with other debt holders to use their cash collateral in a bid to avoid liquidation, Bloomberg News reported yesterday. LightSquared is seeking permission from a group that owns $1.1 billion of debt in its so-called LP unit to use $190 million in collateral, company lawyer Matthew Barr told Bankruptcy Judge Shelley Chapman yesterday. Judge Chapman adjourned the hearing until today to allow the parties more time to negotiate after saying that a productive meeting took place yesterday during a court break. The company, backed by Philip Falcone, has been in a dispute with the debt-holders group since the outset of its chapter 11 case.

Cliffs Club & Hospitality Group Inc. is seeking to keep exclusive control over its chapter 11 case through Oct. 1 as it works to win court approval of a plan that would hand control of the company to an investor consortium led by Carlile Group, Dow Jones DBR Small Cap reported today. In court papers filed on Thursday, the company said it needs the extension to complete the plan and sale to the Carlile-led group, which emerged as the company's buyer after no one stepped forward to challenge it at a chapter 11 auction earlier this year.

Tribune Co., the biggest newspaper publisher in bankruptcy, may learn by early July whether it has won the first of two rulings it needs to leave bankruptcy this year, Bloomberg News reported on Friday. Should the judge overseeing the case approve the company’s reorganization plan by early July, Tribune may be able to exit bankruptcy by August, or by the end of the year at the latest, depending on how long it takes the Federal Communications Commission to make a key second ruling, Chief Reorganization Officer Don Liebentritt said. Tribune finished the last major court hearing in its bankruptcy case on Friday, asking Bankruptcy Judge Kevin Carey to approve a plan that would divide ownership of the television and newspaper company among its senior lenders, including JPMorgan Chase & Co., and hedge funds Oaktree Capital Management LP and Angelo, Gordon & Co.

The congregation of Crystal Cathedral, a mega-church once famous for its "Hour of Power" broadcasts, will move to a new location next year under a deal with the Roman Catholic diocese buying its glass-walled house of worship, Reuters reported yesterday. The Southern California congregation's move was expected, under the terms of an agreement that saw ownership of the Crystal Cathedral property transferred in a $57.5 million bankruptcy sale the two sides entered into late in 2011. The financial woes that befell Crystal Cathedral during a drop in attendance and donations was followed in March by the resignation of televangelist Robert Schuller from the church board in a monetary dispute.

Vitro SAB is set to learn next week whether it can enforce its Mexican bankruptcy plan in the U.S. after the glassmaker clashed with bondholders in court over the plan, Bloomberg News reported today. Bankruptcy Judge Harlin DeWayne Hale said in court yesterday that he plans to rule on Vitro’s enforcement motion next week, probably by June 13. Vitro, which has won approval for the bankruptcy plan in Mexico, is seeking an order from Judge Hale enforcing the restructuring and stopping litigation by bondholders who have been fighting the plan in the U.S. and Mexico in an effort to collect on $1.2 billion in defaulted bonds.

The video-game company founded by former Boston Red Sox pitcher Curt Schilling filed for bankruptcy after firing employees in Rhode Island, where it operated with help from $75 million in government bonds, Bloomberg News reported yesterday. 38 Studios LLC filed for chapter 7 liquidation, saying that it owes creditors about $150.7 million with assets of $21.7 million. Last year, Schilling moved 38 Studios from Massachusetts to Rhode Island after securing cash from the bonds through the state’s economic-development agency. The company received about $49.5 million, according to a fact sheet provided by the Rhode Island Economic Development Corp.

Barclays Plc. has won as much as $5.5 billion from the liquidator of Lehman Brothers Holdings Inc.'s brokerage since buying the defunct investment bank’s North American business more than three years ago, Bloomberg News reported yesterday. A federal judge on Tuesday told the brokerage to pay Barclays what it owed, saying that the final sale documents showed the parties' true intent. Trustee James Giddens originally demanded $7 billion from Barclays, saying that he had not read last-minute changes to the contract in the September 2008 chaos after the Lehman parent filed the biggest bankruptcy in U.S. history. U.S. District Judge Katherine Forrest ordered Giddens to pay London-based Barclays $1.1 billion and renounce his claim to $1.5 billion in margin assets backing trading operations that Barclays took over from Lehman. In confirming part of a lower-court decision, Forrest cost Giddens a total of $3.5 billion in margin and $2 billion in clearance-box assets, held to clear trades, the trustee said on Tuesday.

After 3 1/2 years and at least $410 million in fees billed by lawyers and other professionals, Tribune Co. may be on the verge of winning approval for a plan to emerge from bankruptcy court, the Chicago Tribune reported today. The Chicago-based media company and its creditors must appear before Bankruptcy Judge Kevin Carey for a confirmation hearing starting today, but unlike a year ago when a group of junior bondholders led by New York hedge fund Aurelius Capital Management waged all-out war against a restructuring plan proposed by the company and its senior creditors, this plan has drawn little new opposition, and most observers expect Judge Carey to approve it. Given the complexity of the case, legal experts say the judge likely will take several weeks to write a formal opinion. But approval would pave the way for Tribune Co., parent of the Chicago Tribune, to exit bankruptcy as early as the fourth quarter, assuming the company and its lawyers can overcome several key obstacles.

Energy exploration company Delta Petroleum Corp. filed a chapter 11 reorganization plan giving ownership stakes in a newly created company to creditors after years of losing money trying to find and extract natural gas pockets in and around the Rocky Mountains, Dow Jones DBR Small Cap reported today. The lending agent behind the company's $67.2 million bankruptcy loan and nearly 80 percent of groups who hold the company's biggest debt of $267.7 million have already agreed to accept the plan.

Bankruptcy Judge Cecelia Morris on June 1 approved a deal that will resolve more than $2.5 billion in claims of Dynegy Inc.'s bankrupt subsidiary, Dynegy Holdings LLC, the Deal Pipeline reported yesterday. Under terms of the deal, the debtor will give unsecureds 99 percent of the common equity in the reorganized company. That deal is a departure from the debtor's earlier plan, under which unsecured creditors would have received $1 billion in new 11 percent senior secured notes due 2018 issued by Dynegy Inc. and $2.1 billion in preferred stock in Dynegy Inc. But under the mediated deal, the unsecureds will now get $200 million in cash as well as nearly all the reorganized equity, according to an April 4 statement. Dynegy Holdings would hold onto the other $200 million in cash for "general corporate purposes."