In re HEILIG-MEYERS COMPANY, et. al., Chapter 11, Debtors.

Procedurally Consolidated Case No. 00-34533-DOT.United States Bankruptcy Court, E.D. Virginia, Richmond Division.
July 14, 2003

Lynn L. Tavenner, Esquire, Paula S. Beran, Esquire, Tavenner
Beran, PLC, Richmond, Virginia, Special Local Counsel for the Official Committee of Unsecured Creditors.

AMENDED ORDER AUTHORIZING THE RETENTION AND EMPLOYMENT OF TAVENNER BERAN, PLC AS SPECIAL COUNSEL TO THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS
DOUGLAS TICE, JR., Bankruptcy Judge

This matter came before the Court upon the Amended Application of the Official Committee of Unsecured Creditors for an Amended Order Authorizing the Retention and Employment of Tavenner Beran, PLC as Special Counsel (the “Amended Application”). The Court (a) having reviewed (i) the Amended Application and (ii) the Supplemental Affidavit of Paula S. Beran, a partner/member in the law firm of Tavenner Beran, PLC (“Tavenner Beran”), attached to the Amended Application as Exhibit A (the “Supplemental Affidavit”); and the Court being fully advised in the premises and having determined that the legal and factual bases set forth in the Amended Application and the Supplemental Affidavit establish just cause for the relief granted herein;

THE COURT HEREBY FINDS THAT:

A. The Court has jurisdiction over this matter pursuant to 28 U.S.C. § 157 and 1334.

B. This is a core proceeding pursuant to 28 U.S.C. § 157(b)(2).

C. Notice of the Amended Application (and service of the proposed amended order) was sufficient under the circumstances.

D. The Amended Application and the Supplemental Affidavit are in full compliance with all applicable provisions of the Bankruptcy Code, the Bankruptcy Rules and the Local Rules of this Court. Tavenner Beran does not represent, and has not represented, any entity adverse to the Debtors or to the estates with respect to the matter on which Tavenner Beran is to be employed. Furthermore, Tavenner Beran does not hold any interest adverse to the Debtors or to their estates with respect to the matter on which Tavenner Beran is to be employed.

E. The retention and employment of Tavenner Beran in accordance with the Amended Application and this Order is in the best interests of the Committee, the Debtors and their respective estates.

IT IS HEREBY ORDERED THAT:

1. The Amended Application is hereby APPROVED.

2. Capitalized terms not otherwise defined herein shall have the meanings given to them in the Amended Application.

3. The Committee is authorized to retain and employ Tavenner
Beran, PLC as its special counsel for and in connection with the Avoidance Litigation and any other matters that the Committee may request, pursuant to § 327 of the Bankruptcy Code, retroactive to March 7, 2002.

4. Tavenner Beran shall be compensated for such services and reimbursed for any related expenses as provided in the Application, and in accordance with applicable provisions of the Bankruptcy Code, the Bankruptcy Rules, the Local Rules and any orders of this Court.