The judge overseeing Kmart Corp.’s bankruptcy officially approved its $37 million settlement with Fleming Cos. yesterday, clearing one more hurdle in Kmart’s efforts to emerge from bankruptcy next month.
Fleming was seeking more than a billion dollars in compensation for the prematurely supply agreement it had with Kmart, but was willing to settle for the lower amount as long as it was in cash rather than ownership in the retailing entity.
Fleming was seeking more than a billion dollars in compensation for the prematurely supply agreement it had with Kmart, but was willing to settle for the lower amount as long as it was in cash rather than ownership in the retailing entity.
- KC's View:
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While we still are a little breathless at the notion that a billion-dollars-plus in damages can be settled for a mere $37 million, we think that Fleming is smart to get it in cash.
In fact, we suggest small bills...
