J.G. Wentworth Affiliates to Reorganize Under Chapter 11

Plans to Emerge as Stronger, Better Capitalized Institution
BRYN MAWR, Pa.--(Business Wire)--
J.G. Wentworth, the nation`s leading purchaser of structured settlements and
annuities, today announced that three of its non-operating parent holding
company level affiliates - JGW Holdco, LLC, J.G. Wentworth LLC, and J.G.
Wentworth, Inc., -- have filed a voluntary reorganization plan under Chapter 11
of the U. S. Bankruptcy Code in the U. S. Bankruptcy Court for the District of
Delaware. The filing is what is known as a prepackaged chapter 11. Prior to
filing the company solicited acceptance of a plan of reorganization from its
$370 million term lenders. Over 90% of the term lenders approved the plan. They
are the only creditors impacted by the plan. The plan will allow the company to
substantially reduce its debt load at the parent holding company level while
providing the enterprise with $100 million of new equity to support ongoing
operations. Its operating units will continue to conduct business without
interruption during the reorganization process, which is expected to be
completed within 30 days or so.

In addition, the company has secured a commitment for debtor-in-possession (DIP)
financing to supplement its working capital and provide adequate liquidity
during the proceedings.

J.G. Wentworth`s decision to file for Chapter 11 follows an extensive review of
alternatives to address pressures from extremely challenging capital markets and
high borrowing costs, and was unanimously approved by the company`s board of
directors. The reorganization plan offers the most effective solution to
overcoming these financial challenges and is in the long-term best interest of
the company. This filing is the most efficient vehicle for implementing that
plan.

David Miller, Chief Executive Officer, said, "J.G. Wentworth serves a very
important market niche, and we have successfully provided liquidity to tens of
thousands of customers over the years. However, we have recently faced
significant challenges due to the well-published disruption of the ABS market.
After careful review, we made the decision to restructure the business through a
Chapter 11 filing so that we can strengthen our balance sheet and be better
positioned for the future. I am excited by the potential at J.G. Wentworth and
believe that by taking the appropriate actions now, this business will move
forward effectively. A strengthened J.G. Wentworth will offer customers more
options as they seek cash for their illiquid assets, with the same great service
they`ve come to expect."

Since only senior term debt at the parent holding company level is being
affected and DIP financing has been contracted for, customers completing a
transaction with J.G. Wentworth will not be impacted by the filing. Its vendors
and employees also will not be impacted by this process. "This is one of the
necessary steps to implement the agreed plan as we work to strengthen the
business and return to profitability," Mr. Miller said. "The Board and I would
like to thank our employees, vendors and customers for their ongoing support as
we work to complete Wentworth`s reorganization. With this support, we have the
opportunity to leverage our market position and our brand to emerge from this
proceeding as a stronger and healthier company."

About the J.G. Wentworth family of companies

J.G. Wentworth, Inc., based in Bryn Mawr, PA, is the nation`s oldest, largest
and most respected buyer of deferred payments for illiquid financial assets like
structured settlements and annuities. Since 1992, J.G. Wentworth has purchased
over $3 billion of future payment obligations from consumers and is also the
nation`s largest securitizer of structured settlement and annuity backed notes.

For more information about J.G. Wentworth, go to www.jgwentworth.com.

J.G. Wentworth
Ken Murray, 484-434-2452
Chief Marketing Officer
kmurray@jgwentworth.com
www.jgwentworth.com

Copyright Business Wire 2009