Bankruptcy court grants Midway reprieve

By Stephany Nunneley, Wednesday, 18 February 2009 16:30 GMT

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The District of Delaware Bankruptcy Court has allowed Midway to continue to do business as it restructures under Chapter 11.

“Approval of these motions is an important first step in this planned and orderly reorganization, enabling Midway to continue to operate as usual during this process,” said CEO Matt Booty.

“We remain confident in Midway’s ability to use this proven process to address our capital structure and explore our strategic alternatives.”

The court approved first day motions and cash collateral filings which will also allow the publisher to pay the remaining employee’s salaries, its vendors and other miscellaneous expenses.

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