ENERGY CONVERSION DEVICES - CASE STUDY

Industry: Semiconductors and semiconductor equipment
Transaction Type: Chapter 11 Reorganization

COMPANY DESCRIPTION
Energy Conversion Devices, Inc. designed, manufactured, sold, and installed thin-film solar laminates that converted sunlight into renewable energy.

SITUATION OVERVIEW
Due to a decline in government incentives, increasing competition, weak sales, and a lack of available credit for project financing, Energy Conversion Devices, Inc. filed for chapter 11 bankruptcy in the Eastern District of Michigan on February 14, 2012. 

EMERALD SOLUTION
In connection with the chapter 11 filing, Emerald is currently serving as the Trustee and Financial Advisor to the Energy Conversion Devices Liquidation Trust, focusing on the following action items:

• Objecting to or resolving, compromising, settling, approving, and paying claims filed against the Estate on a case-by-case basis.
• Pursuing potential contingent assets and continuing to wind down the Debtors’ Estate through the Trust.

TRANSACTION RESULTS
As a result of Emerald’s involvement, the following outcomes were successfully achieved:

• Since the effective date, Emerald successfully reduced claims by approximately $400.0 million and made disbursements to creditors of approximately 52 cents on the dollar,  representing approximately 94.5% of the Disclosure Statement’s mid-point value range. 
• Additionally, the Company’s headquarters and several facilities have been exited, six foreign entities have been wound down, and all tax returns and monthly operating reports have been filed timely.

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