Leaders of Norske Skog missed and then extended their deadline for creditor approval of a rescue plan for the debt-laden company. They still hadn’t managed to secure full creditor approval when time ran on Tuesday.
Instead of finally giving up and filing for bankruptcy, to let the courts work out a plan for Norske Skog, chairman Christen Sveaas and the rest of the company’s board of directors extended the deadline once again, to 5pm on Friday. It’s the ninth time a so-called deadline was extended.
Sveaas stated that he expected the two lender hold-outs to show “constructive flexibility” to avoid a bankruptcy. The company is expected to remain in business, with its paper mills still in production, even if bankruptcy proves to be unavoidable.