FAQs

On February 10, 2009, Muzak Holdings LLC, and certain of its affiliates (collectively, the "Debtors") filed voluntary petitions (the "Muzak Cases") for relief under chapter 11 of title 11 of the United States Code (the "Bankruptcy Code").

The questions and answers that follow provide general information concerning the Muzak Cases, the Official Committee of Unsecured Creditors of Muzak Holdings LLC, et al. (the "Committee"), and various topics related to the Muzak Cases and the Committee.

What is the Committee?

Pursuant to the Bankruptcy Code, the United States Trustee is authorized to appoint a committee of creditors holding unsecured claims as soon as practicable after the filing of a case. Generally, a creditors' committee is a group of general unsecured creditors (typically seven) appointed to represent, in a fiduciary capacity, the interests of all general unsecured creditors. In such role, creditors' committees act to protect and promote the interests of general unsecured creditors by, among other things, monitoring a debtor's business operations, investigating its business and financial affairs, and negotiating the terms of a plan of reorganization (a "Plan"). The overarching goal of a creditors' committee is to maximize value for general unsecured creditors.

In accordance with this authority, on February 23, 2009, the United States Trustee appointed the Committee.

What is the Committee's role in the Muzak Cases?

Pursuant to the Bankruptcy Code, the Committee may: (1) consult with the trustee or debtor in possession concerning the administration of the Muzak Cases; (2) investigate the acts, conduct, assets, liabilities, and financial condition of the Debtors, the operation of the Debtors' businesses and the desirability of the continuance of such businesses, and any other matter relevant to the Muzak Cases or to the formulation of a Plan; (3) participate in the formulation of a Plan, advise those represented by the Committee of the Committee's determinations as to any Plan formulated, and collect and file with the court acceptances or rejections of a Plan; (4) request the appointment of a trustee or examiner under section 1104 of the Bankruptcy Code; and (5) perform such other services as are in the interests of the unsecured creditors.

Who represents the Committee?

The Committee retained Akin Gump Strauss Hauer & Feld LLP and Dorsey & Whitney LLP to act as its co-counsel.

Which Muzak entities are in bankruptcy?

Main DebtorMuzak Holdings LLC
Case No. 00-10422 (KJC)

All Debtors Click here to view Debtors and case numbers.

Who is the United States Trustee?

The United States Trustee for the Muzak Cases is Roberta A. DeAngelis. The Trial Attorney assigned to the Muzak Cases is David Kla.

What role does the United States Trustee Play?

The United States Trustee Program is a component of the Department of Justice responsible for overseeing the administration of bankruptcy cases. For further details on the United States Trustee's role, please visit: www.usdoj.gov/ust/r03/index.htm.

Does the Committee represent individual creditors?

No. The Committee represents the interests of all unsecured creditors through oversight of and negotiations with the Debtors. Neither the Committee nor its counsel represent individual creditors that may have claims in the Muzak Cases.

What is the deadline for filing proofs of claims?

On May 28, 2009, the United States Bankruptcy Court entered an Order establishing July 2, 2009 at 5:00 p.m. (prevailing Eastern Time) as the General Bar Date for the filing of proofs of claim against the Debtors in these cases, and August 10, 2009 at 5:00 p.m. (prevailing Eastern Time) as the Government Bar Date for the filing of proofs of claim against the Debtors in these cases.

Do I need to file a proof of claim?

If you believe that you or an entity you represent has a claim arising prior to February 10, 2009 against one or more of the Debtors, you may wish to file a proof of claim to protect your rights. You should consult your own counsel in deciding to file a claim in the Muzak Cases.

Have the Debtors filed any Chapter 11 plan(s) or disclosure statement(s)?

On October 26, 2009, the Debtors' Second Modified Joint Plan of Reorganization and Second Modified Disclosure Statement were filed with the Bankruptcy Court. On November 2, 2009, an Order was entered approving the Debtors' Second Modified Disclosure Statement. On December 24, 2009, The Plan Supplement to The Second Modified Joint Plan of Reorganization of Muzak Holdings LLC and its Debtor Affiliates Under Chapter 11 of The Bankruptcy Code, was filed. On January 11, 2009 The Third Modified Joint Plan of Reorganization of Muzak Holdings LLC and its Debtor Affiliates Under Chapter 11 of The Bankruptcy Code and an Amendment to the Plan Supplement of Muzak Holdings LLC and its Affiliated Debtors was filed. On January 12, 2010 a hearing was held and an Order was entered approving Findings of Fact, Conclusions of Law and Confirming the Third Modified Joint Plan of Reorganization of Muzak Holdings LLC and Its Debtor Affiliates Under Chapter 11 of the Bankruptcy Code. To view these documents, please click on the Plan of Reorganization and Disclosure Statement link on the left side of the page.

How long will the Muzak Cases last?

There is no specific time estimate for the Muzak Cases.

Who is the judge presiding over the Muzak Cases?

The Muzak Cases are assigned to the Honorable Kevin J. Carey, United States Bankruptcy Judge for the District of Delaware.

For additional frequently asked questions regarding the Debtors, please visit the Muzak website: www.muzak.com.