Mindful of a drop-dead date in its deal to sell out to Time Warner and Comcast, Adelphia Communications is asking a bankruptcy court judge to permit the sale without putting it to a vote of the creditors. Ordinarily, the sale of virtually all of a company's assets of a company in Chapter 11 requires creditors to approve a reorganization plan.
But the bickering among Adelphia's creditors is so contentious that some who get less of the sale proceeds may try and block the deal to get leverage over creditors that get more money. So Adelphia wants complete the sale of the bulk of its systems to Time Warner Cable for $17.6 billion in cash and stock, holding onto the proceeds while creditors continue to fight it out. The deal was set to expire July 31, but Time Warner and Comcast agreed to extend it one month to Aug. 31.
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