The Winding-up Board of Glitnir hf. announces that it intends to make a distribution to Glitnir’s priority creditors on Friday, 16 March 2012.
At a creditors’ meeting held in Reykjavik, Iceland on 31 January 2012 Glitnir’s Winding-up Board presented a proposal for payment to priority creditors that set out:
- the basis on which the Winding-up Board intends to make payments to priority creditors in Icelandic kroner (ISK), Euros, US dollars, pounds sterling, and Norwegian krona (including how the proportion of each currency has been determined);
- the exchange rates at which each non-ISK payment would be converted from ISK;
- the arrangements for each disputed priority claim to be paid into escrow accounts pending resolution of the dispute; and
- the conditions to be met for payment to creditors with undisputed priority claims, including the requirement for an undertaking to Glitnir to return over-payments.
Under Icelandic insolvency law, creditors of Glitnir could object to the proposed distribution. A number of objections were received. Some were determined as invalid by the Winding-up Board, and those creditors were notified of this. All other objections by creditors have been withdrawn following meetings with Glitnir’s Winding-up Board. The distribution proposal can now, therefore, be implemented. Á íslensku