ST. LOUIS, Aug. 10, 2012 /PRNewswire/ -- K-V
Pharmaceutical Company ("K-V" or "the Company") announced that the
U.S. Bankruptcy Court for the Southern District of New York, the Honorable Judge Allan L. Gropper presiding, today approved on an
interim basis the Company's request for the use of cash collateral
that was made as part of the Company's voluntary reorganization
cases filed under chapter 11 of the U. S. Bankruptcy Code.
"Together with the Court's prior approval of our First Day
motions, this authorization of the use of cash collateral is
another important step forward, further ensuring that K-V is able
to continue operations and focus on the restructuring process,"
said Greg Divis, President and CEO
of K-V Pharmaceutical. "Meanwhile, reaching agreement regarding
this matter with our Senior Noteholders sets the stage for
continued cooperation toward the development of a plan of
restructuring under which K-V will be able to emerge from chapter
11 as a stable and competitive company," Divis concluded.
K-V and certain of its affiliates commenced cases to reorganize
under chapter 11 of the U.S. Bankruptcy Code on August 4, 2012. The chapter 11 cases are being
jointly administered under case number 12-13346.
As a further step along the path of its restructuring, the
Office of the United States Trustee will hold a meeting to form an
Official Committee of Unsecured Creditors on August 13, 2013. Final hearings on the First Day
motions, certain other motions as well as a final hearing on the
use of cash collateral are scheduled for August 23, 2012.
Updates and additional information can be found at the Company's
website www.kvph.com . In addition, the Company's Claims
Administrator, Epiq Bankruptcy Solutions, Inc., maintains a
web-based resource where documents from the chapter 11 cases,
including the Company's Petitions, can be found,
http://dm.epiq11.com/KVD .
About K-V Pharmaceutical Company
K-V Pharmaceutical Company is a specialty branded
pharmaceutical company with a primary focus in the area of women's
healthcare. As such, we are committed to advancing the health of
women across all the stages of their lives.
For further information about K-V Pharmaceutical Company, please
visit the Company's corporate website at www.kvph.com .
Cautionary Note Regarding Forward-looking Statements
This release contains various forward-looking statements
within the meaning of the United States Private Securities
Litigation Reform Act of 1995 (the "PSLRA") and which may be based
on or include assumptions concerning our operations, future results
and prospects. Such statements may be identified by the use of
words like "plan," "expect," "aim," "believe," "project,"
"anticipate," "commit," "intend," "estimate," "will," "should,"
"could," "potential" and other expressions that indicate future
events and trends.
All statements that address expectations or projections about
the future, including, without limitation, statements about product
launches, governmental and regulatory actions and proceedings,
market position, revenues, expenditures and the impact of the
recall and suspension of shipments on revenues, adjustments to the
financial statements, the filing of amended SEC filings and other
financial results, are forward-looking statements.
All forward-looking statements are based on current expectations
and are subject to risk and uncertainties. In connection with the
PSLRA's "safe harbor" provisions, we provide the following
cautionary statements identifying important economic, competitive,
political, regulatory and technological factors, among others, that
could cause actual results or events to differ materially from
those set forth or implied by the forward-looking statements and
related assumptions. Such factors include (but are not limited to):
(1) the ability of the Company and its subsidiaries to continue as
a going concern; (2) the ability of the Company and its
subsidiaries to obtain Bankruptcy Court approval with respect to
motions in the Chapter 11 cases; (3) the ability of the Company and
its subsidiaries to prosecute, develop and consummate one or more
plans of reorganization with respect to the Chapter 11 cases; (4)
the effects of the bankruptcy filing on the Company and its
subsidiaries and the interests of various creditors, equity holders
and other constituents; (5) the effects of rulings of the
Bankruptcy Court in the Chapter 11 cases and the outcome of the
cases in general; (6) the length of time the Company and its
subsidiaries will operate under the Chapter 11 cases; (7) risks
associated with third-party motions in the Chapter 11 cases, which
may interfere with the ability of the Company and its subsidiaries
to develop one or more plans of reorganization and consummate such
plans once they are developed; (8) the potential adverse effects of
the Chapter 11 proceedings on the Company's liquidity or results of
operations; (9) the ability to execute the Company's business and
restructuring plans; (10) increased legal costs related to the
Company's bankruptcy filing and other litigation; (11) that
its Class A Common Stock and Class B Common Stock will be, or will
continue to be, traded on the OTCQB Marketplace and whether
sufficient volumes and liquidity will develop; and (12) the ability
of the Company and its subsidiaries to maintain contracts that are
critical to their operation, including to obtain and maintain
normal terms with their vendors, customers and service providers
and to retain key executives, managers and employees.
This discussion is not exhaustive, but is designed to highlight
important factors that may impact our forward-looking
statements.
Because the factors referred to above, as well as the
statements included in Part I, Item 1A—"Risk Factors," of our
Annual Report on Form 10-K for the fiscal year ended March 31, 2012 and under the heading "Risk
Factors" in our Registration Statement on Form S-1 filed with the
Securities and Exchange Commission on July
31, 2012, could cause actual results or outcomes to differ
materially from those expressed in any forward-looking statements
made by us or on our behalf, you should not place undue reliance on
any forward-looking statements. All forward-looking statements
attributable to us are expressly qualified in their entirety by the
cautionary statements in this "Cautionary Note Regarding
Forward-Looking Statements" and the risk factors that are included
under Part I, Item 1A of the our Annual Report on Form 10-K for the
fiscal year ended March 31, 2012 and
under the heading "Risk Factors" in our Registration Statement on
Form S-1 filed with the Securities and Exchange Commission on
July 31, 2012. Further, any
forward-looking statement speaks only as of the date on which it is
made and we are under no obligation to update any of the
forward-looking statements after the date of this release. New
factors emerge from time to time, and it is not possible for us to
predict which factors will arise, when they will arise and/or their
effects. In addition, we cannot assess the impact of each factor on
our future business or financial condition or the extent to which
any factor, or combination of factors, may cause actual results to
differ materially from those contained in any forward-looking
statements.
SOURCE K-V Pharmaceutical Company