Haights Cross Communications, which has been looking for ways to cut its debt, announced yesterday that it had reached an agreement with its senior lenders that will lower its indebtedness from $380 million to about $180 million and give the company more time to repay its lenders. To implement the financial restructuring, HC will file for pre-packaged bankruptcy, a move, the company said, that has the support of its major lenders.
HC said that while it is in Chapter 11 it expects to meet all of its trade obligations to vendors and will continue to pay employees in full. The operations of HC’s two subsidiaries, Recorded Books and Triumph Learning, will not be affected by the restructuring. “Triumph Learning and Recorded Books plan to continue operations as normal through the Haights Cross debt restructuring,” said Paul Crecca, HC president and CEO.