A restructuring plan has been approved for troubled Canadian timber firm Doman Industries, which will see the company renamed Western Forest Products Inc.
The plan, approved by British Columbia’s Supreme Court, will involve Doman’s assets being transferred to its unsecured creditors in exchange for them refinancing the company’s secured notes.
Doman has been under court-ordered creditor protection since 2002, when it defaulted on interest payments for part of its C$1bn debt burden.
Creditors have already voted in favour of the plan, which is due to be implemented on July 26.
