Crescent files Chapter 11, replaces CEO - Philadelphia Business Journal:

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The moves are part of an effor to cutthe company’s debt and rework its capital structures, the Charlotte, N.C.-based developer and some of its subsidiariess have filed voluntary Chapter 11 petitions in the in the Westernb District of Texas, Austin Division. Crescent also announced today thatArthur Fields, the company’sw chief executive officer, has retired, effective He will continue to work in an advisor y capacity. Crescent had been struggling to refinancea $1.2 billio n loan, with payment due in full by September 2012.
The company amended the loan in June 2008 because it was in violation of the original Before the Chapter11 filing, Crescent facedc payments of $50 million by the end of this $75 million in 2010 and $100 million in 2011 on its The company, which has developed more than 1 milliob square feet of office spacr in Cool Springs since the 1990s, has been facinbg local troubles, too. Pat Emery, Crescent’s long-time vice presidentf and regional manager in left the companylast month.
And the developer’s Crescent’xs Greenway One, a $33 million, 168,000-square-foot building near completion onCarothers Parkway, has been boarded up for months as contractorsd filed millions of dollars in liensw against it. Another similarly sized Crescen t project next to it is aboutr 90 percent vacant a year after being The company says it plans to continue businesses withougt any significant interruption during Crescent has obtaineda debtor-in-possession financing facility of $110 million from a grou of its existing lenders, whicb will provide funds so it can continue operating. Andres Hede will replace Fieldx as CEO and will be chargerd with leadingthe restructuring.
Hede, a managing directofr with LLC, has more than 15 yearsx of financial restructuring andbusiness experience. “Wre have been in active discussions with our lenders and otheer stakeholders as we work towar an agreement that will bring our capital structure in line with the currenteconomixc environment,” Hede says in a release. “Those discussions are continuing, and we are pleaseed with the ongoing support we have received from our We intend to reach an agreement on our new capitalo structure and emerge frombankruptcy quickly.
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