Orbimage Inc. (formerly Orbital Imaging Corporation) announced Monday that it officially emerged from bankruptcy protection effective December 31, 2003. As previously announced, Orbimage’s final plan of reorganization was confirmed on October 24, 2003 by the United States Bankruptcy Court for the Eastern District of Virginia. The company also officially changed its name to Orbimage Inc.
“Our emergence from bankruptcy protection marks the final milestone in the new beginning for Orbimage. Not only do we have a much stronger balance sheet, we also have a new satellite that’s performing exceptionally well, over $250 million in sales backlog, an exceptional team of experienced professionals, and solid business partnerships,” said Matt O’Connell, Orbimage’s Chief Executive Officer.
“In addition to Orbimage’s bright future, I am also confident in the growth trend of the commercial remote sensing industry overall.”
As part of the final reorganization, on December 31, 2003 all existing notes and shares of capital stock of Orbital Imaging Corporation were cancelled. Holders of the Company’s old notes and the Company’s other general unsecured creditors received $50 million in new Senior Subordinated Notes due 2008 and 6 million shares of common stock, representing approximately 99% of the outstanding capital stock of Orbimage Inc.
Holders of certain debt obligations incurred during the Company’s bankruptcy received approximately $19 million in new Senior Notes due 2008. Additionally, holders of the Company’s Series A Preferred Stock received warrants to purchase up to approximately 319,000 shares of common stock of Orbimage Inc.
