Case No. 399-02649, Jointly Administered.United States Bankruptcy Court, M.D. Tennessee, Nashville Division.
December 21, 2004
Phillip G. Young, Jr., Paul G. Jennings Phillip G. Young, Jr. BASS, BERRY SIMS PLC, Nashville, TN
John Wm. Butler, Jr., George N. Panagakis, SKADDEN, ARPS, SLATE, MEAGHER FLOM (ILLINOIS), Chicago, IL Attorneys for Reorganized Debtors.
Ronald G. Steen, Jr. by PGY, Stites Harbison, PLLC, Nashville, TN Attorneys for Principal Life Insurance Co.
AGREED ORDER PARTIALLY ALLOWING AND PARTIALLY DISALLOWING CLAIM NO. 5118 OF THE PRINCIPAL LIFE INSURANCE COMPANY
GEORGE PAINE, Chief Judge, Bankruptcy
Service Merchandise Company, Inc. (“Service Merchandise”) and 31 of its affiliates (Service Merchandise and its affiliates collectively, the “Reorganized Debtors”) and The Principal Life Insurance Company (the “Claimant”), having agreed with respect to the allowable amount of Claim No. 5118, which replaced Claim No. 5096 (collectively the “Claim”), and it appearing that the agreed relief is in the best interest of the Debtors, their estates, creditors and other parties in interest; all parties in interest having been heard or having had the opportunity to be heard, and no other or further notice of the Request, Response, or the entry of this order need be provided, and upon the entire record herein; and good and sufficient cause appearing therefor,
IT IS HEREBY ORDERED AND DIRECTED AS FOLLOWS:
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1. The Claim shall be and hereby is ALLOWED as a general prepetition non-priority unsecured claim in the amount of $542,527.80. (the “Allowed Amount”) against Service Merchandise Company, Inc. in Case No. 399-02649.
2. The Claim shall be and hereby is DISALLOWED to the extent it exceeds the Allowed Amount.
3. Within thirty (30) days after the entry of this Agreed Order, the Reorganized Debtors shall pay the Claimant the sum of $26,294.32 (the “Initial Distribution Amount”) on account of the claim allowed in this Agreed Order. The Initial Distribution Amount is the amount the Claimant would have received had the Claim been allowed at the time of the distribution that occurred in December 2003, minus $54,169.91 (the “Credited Amount”). The Reorganized Debtors and the Claimant agree that the Reorganized Debtors have already satisfied its total obligations to the Claimant for the Credited Amount, and have deducted this amount to arrive at the Initial Distribution Amount.
4. The Claimant shall participate pro rata on account of the entire Allowed Amount in all future distributions.
5. Other than the claim allowed in this Agreed Order, the Claimant shall have no other allowed claims, whether prepetition, post-petition, secured, unsecured, priority, administrative, or otherwise against the Reorganized Debtors or their estates.
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6. All distributions on account of the claim allowed by this Order are governed by the terms of the Reorganized Debtors’ confirmed chapter 11 plan, and any other actions to collect or enforce the claim allowed in the Order and/or any other claims against the Reorganized Debtors or against the assets of the Reorganized Debtors are prohibited by the plan and confirmation order entered May 13, 2003.
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