Does this mean kp is going out of business? Is this a liquidation?
- No. Chapter 11 is a well-established US legal process that companies use to restructure their finances while they continue to operate as normal.
- We are a key player in the packaging sector, and that is not changing.
- Our operations remain fundamentally strong and profitable, and our customers can continue to rely on kp for innovative and sustainable packaging, films, and services.
- This particular legal process is unique to the US and it is not a liquidation or insolvency proceeding.
Does kp have sufficient liquidity to meet its business obligations?
- Yes. To support our operations and ensure that we satisfy our business obligations during this process, our financial partners have agreed to provide kp with new financing.
- Upon Court approval, this financing, together with cash generated from ongoing operations, will provide ample liquidity to support the business during the financial restructuring process.
Will this court-supervised process affect kp’s day-to-day operations?
- No. Our global operations are continuing without interruption.
- Our customers can continue to rely on kp for innovative and sustainable packaging, films, and services.
Will there be layoffs or furloughs as a result of this process?
- Our global operations are continuing without interruption, and there are no planned layoffs or furloughs in connection with this announcement.
- Going forward, staffing decisions will continue to be based on the needs of the business and market conditions, just as they always have.
Will there be any plant or facility closures as a result of this process?
- Our global operations are continuing without interruption, and there are no planned plant or facility closures in connection with this announcement.
- Going forward, our operating footprint will continue to be based on the needs of the business and market conditions, just as it always has.
Who will own kp following the financial restructuring process?
- Under the terms of the RSA, our financial partners will become kp’s new owners.
- The support of our financial partners demonstrates their confidence in kp, our services, our products, and our people.
Will there be any leadership changes as a result of the court-supervised process or new ownership?
- During the Chapter 11 process, kp’s management team will continue to run the business.
- Our existing leadership team is highly committed to kp and leading the business, and there are no changes to the team contemplated at this time.