R.H. Donnelley to reorganize under Chapter 11

[May 29, 2009]  CARY, N.C. (AP) -- Yellow pages publisher R.H. Donnelley Corp. says that it voluntarily filed to reorganize under Chapter 11 bankruptcy law.

Earlier this month the Cary, N.C., company said that it hoped to obtain support for a debt restructuring from its bank lenders and bondholders before Thursday, when its current forbearance agreements expired.

R.H. Donnelley says it reached a deal with some of its creditors that will lower debt by about $6.4 billion, get rid of approximately $500 million in annual interest expense and extend debt maturities to 2014.

The company will continue to function as normal during the restructuring and does not expect any service disruptions.

[Associated Press]

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