NEW YORK — Jackson Hewitt said Tuesday it filed for Chapter 11 bankruptcy protection under the weight of heavy debt.
The nation’s second-largest tax preparer said its lenders agreed to a restructuring plan to lower debt and interest expense. It filed the prepackaged plan with the U.S. Bankruptcy Court for the District of Delaware.
Secured lenders are to receive their pro rata share of a new $100 million term loan and all of the stock in the reorganized company. Shareholders and unsecured lenders won’t receive anything. The company expects the plan to be implemented in 45 to 60 days.
Guidelines: Please keep your comments smart and civil. Don't attack other readers personally, and keep your language decent. Comments that violate these standards, or our privacy statement or visitor's agreement, are subject to being removed and commenters are subject to being banned. To post comments, you must be a registered user on toledoblade.com. To find out more, please visit the FAQ.