Case timeline

1. Sep 32021
   Plan: Washington Prime confirms prearranged mall REIT restructuring

   Washington Prime Group won confirmation of its second amended joint plan on September 3, 2021, less than three months after its June 13 Chapter 11 filing in the Southern District of Texas. The petition listed $1 billion to $10 billion of assets, $1 billion to $10 billion of liabilities, and 10,001 to 25,000 creditors; CFO Mark Yale described WPG as a publicly traded retail REIT with interests in 102 shopping centers and about 52 million square feet of gross leasable area, pressured by e-commerce migration, COVID-driven traffic declines, rent relief, and liquidity strain source filing source filing source filing.

   The restructuring was prearranged through a June 11 RSA with SVPGlobal and an ad hoc lender group. As of the petition date, WPG had about $3.872 billion of funded debt, including $2.817 billion secured and $1.055 billion unsecured; the deal included a $100 million new-money DIP, a contemplated $1.2 billion exit term loan, a potential revolver, and a backstopped equity rights offering of up to $325 million. The confirmation order approved the disclosure statement, confirmed the plan, overruled unresolved objections on the merits, treated general unsecured claims as unimpaired, and set the equity-rights offering mechanics for emergence source filing source filing.

   Sources and provenanceSeptember 3, 2021