Integrated Electrical Services (IES), Houston, and all of its domestic subsidiaries filed for Chapter 11 reorganization. The petition was filed in the U.S. Bankruptcy Court for the Northern District of Texas.
IES listed $400.8 million in assets and $385.5 million in debts in its petition, and it claimed about $1.1 billion in revenue for the fiscal year ending Sept. 30, 2005.
Its largest two unsecured claims are owed on its two series of notes, to U.S. Bank and Bank of New York Inc., respectively. The following three claims are held by trade creditors: Graybar Electric Co. ($3.9 million), followed by Rexel Inc. ($1.9 million) and General Electric Supply Co. ($1.9 million).
Under the proposed restructuring, IES said creditors who currently own 58 percent of IES's senior subordinated notes have agreed to exchange all their notes for shares representing about 82 percent of the reorganized company. Holders of IES' outstanding common stock will receive stock representing about 15 percent of the reorganized company, while management will own 3 percent.