Holley Performance Bankruptcy – Trade Debt Picture and Largest Unsecured Creditors

Holley Performance Products Inc. (“Holley Performance”) and its 4 affiliates who also filed bankruptcy on September 28, 2009 (the “Debtors”) have requested authority to file a consolidated list of the 30 largest unsecured creditors (the “Top Unsecured Creditor List”) in lieu of a separate list for each of the Debtors.  Beyond this listing, the information provided by Debtors in support of their first day motions does not include an overview of the trade debt situation.  However, the Debtors’ first day motions do include a request for authority to make significant critical vendor payments.

Holley Performance Bankruptcy –Identification of Debtors and Petitions, Estimated Creditors, Assets and Liabilities

Holley Performance Products Inc. (“Holley Performance”) and 4 affiliated entities (“Debtors”) filed petitions on September 28, 2009 in the Bankruptcy Court for the District of Delaware for relief under Chapter 11 of Title 11 of the United States Code.  The Debtors have moved for joint administration of the Debtors’ cases under case number 09-13333.  For suppliers and other unsecured creditors, this case will require careful monitoring.  Based on the initial filings, the intended direction of this bankruptcy can not be determined.  The Debtors have filed without securing debtor in possession financing.  The Debtors are anticipating a fight with the pre-petition, first priority secured lenders.  The first day motion for use of cash collateral is entitled (in part):  “Motion for an Order … Authorizing the Debtors’ Use of Cash Collateral on a Non-Consensual Basis… .”