UPDATE 1-Crabtree & Evelyn files reorganization plan

Oct 23 (Reuters) - Crabtree & Evelyn Ltd, a purveyor of specialty soaps, fragrances and lotions, filed a reorganization plan in a Manhattan bankruptcy court on Friday, court filings showed.

The Woodstock, Connecticut-based company, which is owned by Kuala Lumpur Kepong Berhad (KLKK.KL) and is a unit of Britain's Crabtree & Evelyn Holdings Ltd, filed for Chapter 11 protection in July this year.

The company said it was in talks with its parent for exit financing sufficient to pay debtor-in-possesion, or DIP loan, claims that funded its bankruptcy and to provide working capital once it exits Chapter 11.

Under the plan, secured creditors will get full recovery and unsecured creditors will get up 45 percent of their claims.

The company also closed 30 of its 126 stores as part of its reorganization.

Crabtree & Evelyn companies outside of the United States were not affected by the company's bankruptcy filing.

A hearing has been scheduled for Jan. 14 to approve the plan.

The case is in re: Crabtree & Evelyn Ltd, U.S. Bankruptcy Court, Southern District of New York (Manhattan), No 09-14267. (Reporting by Santosh Nadgir in Bangalore; editing by Andre Grenon)