Retailers’ Reorganization Plan Deadline Extended: Federated Department...
From Times Staff and Wire Reports
Retailers’ Reorganization Plan Deadline Extended: Federated Department Stores Inc. and Allied Stores Corp. have obtained a four-month extension to Sept. 12 in which to file their Chapter 11 bankruptcy reorganization plan. Lawyers said they may need even longer because the case is so complex. The U.S. bankruptcy judge also approved a settlement Federated negotiated with the Internal Revenue Service in a dispute over its 1981 to 1983 taxes. Under the agreement, Federated will receive a $23-million refund but will adopt a new IRS computing method that could increase its taxes by $14 million over a 10-year period.
