ROTTERDAM, Netherlands (Feb. 27, 2009)-Lyondell Chemical Co. has gained a preliminary injunction from a U.S. Bankruptcy Court to stop certain creditors from proceeding against its parent company, LyondellBasell Industries AF SCA.
This means that LyondellBasell can continue to reorganize its worldwide businesses without the threat of having assets eroded by claims against entities not protected by the bankruptcy, the company said in a statement.
The injunction gives LyondellBasell 60 days to evaluate options for protecting its worldwide businesses. According to the statement, the injunction prevents various creditors from enforcing pre-petition guarantees that were issued by LyondellBasell Industries AF S.C.A. for obligations of entities included in Chapter 11 protection.
LyondellBasell Industries' US operations and one of its European holding companies filed to reorganize under Chapter 11 on Jan. 6 in order to restructure its debts. Lyondell Chemical Co. is one of the 79 LyondellBasell entities included in this filing.