Free Notice of Settlement - District Court of Delaware - Delaware

Case 1 :04-cv-00549-JJF Document 23 Filed O3/O2/2005 Page 1 of 3 _ `
IN THE UNITED STATES DISTRICT COURT _
FOR THE DISTRICT OF DELAWARE
IN RE: FANSTEEL INC., ET AL., I )
Fansteel Inc., )
) .
Plaintiff, ) Civil Action No. 04-549 (HF)
)
v. ) I
) .
H.C. Starck, Inc., )
) Adversary Case No. 04-51099
Defendant. ) Bankruptcy Case N0. 02-10109 (JIF) I
Objection Deadline: March 9, 2005 at 4:00 p.m. Eastern Time
Hearing Date: 'I'BD, if necessary
NOTICE OF SETTLEMENT OF AVOIDAN CE ACTION I
Plaintiff F ansteel, Inc., Reorganized Debtor (hereinafter referred to as "Plaintiff"), files n
this Notice of Settlement of Avoidance Action (the “Notice”). A proposed Mutual Settlement
Agreement and Release (the "Settlement Agreernent") was entered into by Plaintiff and H. C. T-
Starck, Inc. (hereinafter referred to as "Defendant"), on March 1, 2005, a copy of which is
attached hereto, which Settlement Agreement provides, inter alia, the following: _
1 The Recrganized Debtors are the following entities: Fansteel Inc. and Wellman Dynamics Corp.
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Case 1 :O4—cv-00549-JJF Document 23 Filed O3/O2/2005 Page 2 of 3 I
Name of Defendant: H.C. Starck, Inc.
Civil Action No.: 04-549
Com • laint Amount: $$13,092.29, $428,994.54 on antecedent debt
Credit for New Value: $407,064.04 `
Net Preference Claim : $21,930.50
Settlement Amount: $10,000 cash and waiver of § 502 h claim
Settlement is 66% of the Net Preference Claim
S • ecial Circumstances (If Necessa ): COD issues also resent.
Plaintiff submits that the above Settlement Agreement is the product of arm’s-length t
negotiations between Plaintiff and Defendant. The Settlement Agreement represents a favorable
resolution of Plaintiffs claims and results in a cash payment and claim waiver to Plaintiff for the
benefit of creditors. Accordingly, Plaintiff further submits that the Settlement Agreement is fair
and reasonable, is in the best interest of the creditors, and is the result of the exercise of sound
business judgment.
If you object to the terms of the settlement, you are required to tile an objection to this _
Settlement Agreement on or before March 9, 2005 at 4:00 p.m. j
THIS NOTICE IS SUBMITTED ON NEGATIVE NOTICE. ANY PARTY
OBJECTING TO THE RELIEF REQUESTED HEREIN SHALL MAKE ITS OBJECTION i
KNOWN BY FILING AN OBJECTION TO THE PROPOSED SETTLEMENT, SERVED
UPON THE UNDERSIGNED AND FILED WITH THE COURT NO LATER THAN FIVE (5)
BUSINESS DAYS AFTER DELIVERY HEREOF. A HEARING ON THE NOTICE WILL BE _
HELD AT A TIME TO BE DETERMINED BY THE COURT ONLY IF A TIMELY
* The term "ne! preference claim " as used herein means the total preference period transfers made to a creditor, less
the value to the Plaintiff of subsequent extensions of credit ("new value").
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Case 1 :04-cv-00549-JJF Document 23 Filed O3/O2/2005 Page 3 of 3
( OBJECTION IS FILED. IF NO SUCH OBJECTIONS ARE FILED, THE SETTLEMENT
WILL BE DEEMED APPROVED WITHOUT FURTHER ORDER OF THE COURT.
Dated: March 2, 2005 SCHULTE, ROTH & ZABEL LLP
Jeffrey S. Sabin (J SS-7600)
David J. Ciminesi (DJ C-81 56)
919 Third Avenue 0
New York, New York 10022
Telephone: (212) 756-2000
Facsimile: (212) 593-5955
AND
PACHULSKI, STAN G, ZIEHL, YOUNG, JONES
& WEINTRAUB P.C.
%g A
L Davis Jones (DE Bar N0. 2436)
Ja s E. O'Nei11 (DE Bar No. 4042)
Steven J. Kahn (CA Bar N0. 76933)
Jason S. Pomerantz (CA Bar No. 157216) A Q
10100 Santa Monica Blvd. _
11th Floor .
Los Angeles, California 90067-4100 A
Telephone: 310/277-6910
Facsimile: 10/201 -0760 .
Counsel for Debtors and Reorganized Debtors
FANSTEEL
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