Daily Record Financial News &
Monday, June 22, 2015
Vol. 102, No. 156 • Two Sections
35¢ www.jaxdailyrecord.com
An ending 31 years in the making Firm celebrates end to Charter Co.’s bankruptcy case
A couple of months ago, the Jacksonville law office of Smith Hulsey & Busey had a small party to celebrate the successful conclusion of a case, a case more than three decades in the making. Yes, the final decree was issued to end Charter’s Chapter 11 bankruptcy case. The Charter Co., once a huge Jacksonville-based conglomerate, filed for Chapter 11 in U.S. Bankruptcy Court in Jacksonville in 1984. But it wasn’t until April 1 of this year that U.S. Bankruptcy
Judge Jerry Funk signed the final decree declaring the last remaining case, that of Charter International Oil Co., to be closed. According to the U.S. court system’s PACER database, there were 26 Chapter 11 petitions filed by Charter Co. and related subsidiaries under the Charter name on April 20, 1984. The reorganization plan for Charter was confirmed by the court in 1986 and the company emerged from bankruptcy in 1987, but some of the cases remained open to handle various claims. According to PACER, all but
“It was kept open all these years to deal with those late claims.” James Post About why The Charter Co. bankruptcy case was open 31 years
three of the cases were closed by 2001, with only Charter International Oil and two affiliated companies remaining. Those companies were still dealing with cases of people who
claimed chemical-related illnesses caused by the company, but who didn’t file their claims until after the reorganization plan was confirmed. “It was kept open all these
Mayor Alvin Brown and Police and Fire Pension Fund Administrator John Keane shake hands Friday, minutes after Brown signed a deal for pension reform into law. The two spent countless hours across the table discussing the pact, which was finalized shortly before Brown leaves office and Keane retires as head of the pension fund.
A final deal and a handshake Brown, Keane get last big check mark before leaving
By David Chapman Staff Writer Mayor Alvin Brown stood at the podium Friday with five other officials, talking about long-term savings and the team effort it took to achieve pension reform. His voice never cracked. His tone never wavered. It was a victory speech he had long hoped to give, one that was maybe a few months too late to help him get reelected.
Public
John Keane stood to the side by himself. The longtime Police and Fire Pension Fund administrator watched others recall their role in how pension reform finally got done. If anyone should have been beaming, it was Keane. Seven years of effort. But, instead of a smile, it was red, slightly swollen eyes trying their best not to leak. Finally, he was called to the microphone to say a few words. And a few words were all he could say, really, before those bottled
legal notices begin on page
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years to deal with those late claims,” said Smith Hulsey attorney James Post. However, with no new claims filed for several years, Post filed a motion in February on Charter International Oil’s behalf to close the case. “All matters to be completed upon the effective date of the confirmed plan have been fulfilled or completed,” the motion said. The docket for the Charter International Oil case shows the last previous filing had been in 2009. Post said several Smith Hulsey Charter continued on Page A-10
APR stock takes another plunge
Photo by David Chapman
By Mark Basch Contributing Writer
emotions emerged. “My wife,” he started, his voice cracking. She’d endured much from media stories over the past seven years about her husband and pension reform, Keane, 72, said. His elderly mother also knew the turmoil pension troubles had caused. Shortly after all the words were said, people filed into the fund board room. A desk had been set up for days, flags were arranged behind it. Pension continued on Page A-7
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APR Energy plc’s stock plunged again last week after the Jacksonville-based company said, again, that earnings will be “significantly below market expectations.” This follows a sharp drop in late 2014 after the company warned that last year’s results would be below expectations because of a pullout from its operations in Libya. APR provides interim power plants around the world, including some risky situations like Libya. After writing off its operations in Libya because of turmoil there, APR reported an operating loss of $702.5 million last year. In a statement last week, APR said one reason for its lower expectations for 2015 earnings is “demobilization costs in Libya that have been higher than expected despite the significant progress made to date in extracting the majority of assets.” The company, which didn’t give any numbers for its projections, also said earnings are being impacted by unfavorable foreign exchange rates, a situation that is affecting all U.S. companies that do business overseas. However, the biggest issue is “delayed negotiations and long lead times associated with projects the company is pursuing,” APR said. “The company’s guidance at the beginning of the year was predicated on an expectation that contracts being pursued would have a financial impact by the fourth quarter of 2015. While those opportunities still exist, and the market for interim power
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