Bombay Co expects Chapter 11 plan approval
(Reuters) - Home furnishing and accessories retailer Bombay Co Inc BBAO.PK has obtained a commitment from a U.S. bankruptcy judge in Fort Worth, Texas, to sign a confirmation order approving a Chapter 11 plan, Bloomberg said citing the company's lawyer.
The disclosure statement explaining the plan predicted that unsecured creditors would receive 16.4 percent to 28.9 percent on their claims, the report said.
Holders of gift cards are in a separate class and are to receive 25 percent, according to the report.
Bombay, which filed for bankruptcy almost a year ago, has liquidated 388 stores.
Gordon Brothers Retail Partners and Hilco Merchant Resources were hired to liquidate Bombay's inventory.
More than a dozen U.S. retailers have gone bankrupt in the last year, including Goody's Family Clothing Inc Linens 'n Things Inc, Mervyn's LLC, Sharper Image Corp (SHRPQ.PK), Shoe Pavilion Inc (SHOEQ.PK) and Steve & Barry's LLC.
Bombay could not be immediately reached for comment. (Reporting by Ajay Kamalakaran in Bangalore)
