NEW YORK Delphi Corp. reduced bank borrowing in its reorganization plan to $5.2 billion yesterday, prompting objections from creditors who called the arrangement a giveaway for investors and existing stockholders.
The arrangement would give undeserved value to existing stockholders and larger discounts to a group of investors led by Appaloosa Management LP, according to an objection filed yesterday by the official committee of unsecured creditors in U.S. Bankruptcy Court here.
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