AbitibiBowater Inc. is seeking to keep control of its restructuring for an extra three months so it can stay on track to emerge from bankruptcy early this fall, Dow Jones Daily Bankruptcy Review reported. The giant pulp-and-paper manufacturer is urging the U.S. Bankruptcy Court in Wilmington, Del., to extend the time in which it alone has the right to file a Chapter 11 plan of reorganization, which AbitibiBowater has already filed but is continuing to negotiate the terms of with its creditors. If the court doesn't agree to extend its exclusive plan-filing rights through Oct.

AbitibiBowater Inc. on Thursday pushed off until July 30 a preliminary hearing on its Chapter 11 exit plan, as talks continue with investors clamoring for a piece of the paper-maker's $500 million debt-rights offering, Dow Jones Daily Bankruptcy Review reported. Aurelius Capital Management LP and Contrarian Capital Management LLC say their $620 million claim entitles them to participate in the deal, part of AbitibiBowater's bankruptcy emergence financing.

Nortel Networks Inc., once part of North America’s biggest maker of telecommunications equipment, filed its plan to repay creditors without disclosing how much they will get, Bloomberg Businessweek reported. The plan, filed yesterday in U.S. Bankruptcy Court in Wilmington, Delaware, doesn’t provide details about how the company will divide the proceeds from selling its assets. Nortel, based in Toronto, filed for bankruptcy last year along with its parent, Nortel Networks Corp. The company has since raised about $2.8 billion from selling assets.

Two AbitibiBowater Inc. bondholders are asking that their disputed $620.1 million claim be temporarily reclassified in the company's Chapter 11 case so that they can participate in the paper maker's debt-rights offering, Dow Jones Daily Bankruptcy Review reported. Aurelius Capital Management LP and Contrarian Capital Management LLC said in papers filed Wednesday with the U.S. Bankruptcy Court in Wilmington, Del., that AbitibiBowater's proposed Chapter 11 plan is designed to block them from buying debt in the reorganized company that is convertible to stock at a discounted price.

Insolvent modular home manufacturer Winalta Inc. has been given a court extension to come up with a restructuring plan, The Edmonton Journal reported. Edmonton Court of Queen’s Bench Friday agreed to extend the deadline to Aug. 6 while the Acheson company continues to dispose of assets. The company was granted court protection from creditors April 26 when it could not meet its debt obligations. The court has approved the sale of 29 homes and lots and three vacant lots at Sylvan Lake for $3.8 million, as well as 118 acres of residential property in Estevan, Sask. for $1.6 million.

Secured lenders owed $357 million and an assortment of creditors say AbitibiBowater Inc. owes them a better explanation of its bankruptcy-exit proposal, Dow Jones Daily Bankruptcy Review reported. Term lenders said the newsprint producer is unfairly capping what they can recover, while depriving them of the right to vote on its Chapter 11 plan. The plan promises payment in full to secured lenders, including the term lenders, and lists them as "unimpaired," meaning AbitibiBowater doesn't need to poll them.

Nortel Networks Corp. has complained to a U.S. bankruptcy court that Avaya Inc. is balking at handing over $22 million of the agreed $900 million purchase price for Nortel's enterprise business, Dow Jones Daily Bankruptcy Review reported. As it musters cash to pay creditors, Nortel says, it needs a court order to force Avaya to turn over the money, which it says is being withheld in violation of the sale agreement.

AbitibiBowater Inc. is seeking to pay fees to banks that will assist it in lining up more than $2.3 billion in capital that the newsprint maker says is necessary for it to emerge from Chapter 11 protection, Dow Jones Daily Bankruptcy Review reported. In papers filed Wednesday with the U.S. Bankruptcy Court in Wilmington, Del., AbitibiBowater said lining up the necessary financing is "critical" as it prepares to seek permission to send its bankruptcy-exit plan to creditors on July 7 and emerge from Chapter 11 this fall.

Shaw Communications Inc on Wednesday won court approval for its C$2 billion purchase of Canwest Global's broadcast arm after it agreed to provide C$11 million to shareholders who had complained of being shut out of the deal, Reuters reported. The amended agreement, approved by Ontario Superior Court Judge Sarah Peppal, followed last-ditch negotiations that began early Tuesday and ran late into the night before resuming on Wednesday.

A legal dispute over Shaw Communications Inc's takeover of Canwest Global Communications' broadcast assets that shareholders say leaves them empty-handed continued into the evening on Tuesday, Reuters reported. The two sides hope to hammer out a deal that can be finalized in a hearing on Wednesday, David Byers, a lawyer for the court-appointed monitor for the CanWest bankruptcy and sale, told Toronto Superior Court on Tuesday. Shaw was in court to get approval for its purchase of Canwest's bankrupt TV assets.