Bankruptcy Claims FAQs
- How many shares are remaining in the reserve fund?
Upon Penn Virginia's emergence from bankruptcy, 816,422 shares were placed in a reserve fund to satisfy general unsecured claims in its bankruptcy and to pay applicable premiums to non-accredited investor holders of notes. As of November 6, 2017, 737,112 shares (87,634 in the fourth quarter of 2016, 763 in the first quarter of 2017, 146,646 in the second quarter of 2017, 10,780 in the third quarter of 2017, and 491,289 in the fourth quarter of 2017) have been issued to claimants and former Penn Virginia noteholders, and 79,342 shares remain in reserve. Additional distributions will be made as bankruptcy claims are resolved although the timing of future distributions cannot be estimated at this time.
- How will I be notified of a distribution?
Former Penn Virginia noteholders and other general unsecured claimants with shares held in street name should receive notification of a distribution through their brokers. Shares will be distributed to your account electronically through your broker. If you are a holder of record or receiving an initial distribution of shares on account of an unsecured claim, a transaction statement will be mailed to your address of record by Penn Virginia's Transfer Agent and shares will be credited to your account in book-entry form.
- How many claims remain outstanding?
Over 1,000 class 6A unsecured claims of approximately $100 million in the aggregate were filed in Penn Virginia's bankruptcy. Since the company's emergence, all but approximately 35 claims have been resolved, approximately 10 of which relate to a pending unclaimed property audit and 15 of which were filed as secured claims which, if allowed, are all expected to be settled in cash. In accordance with the Plan of Reorganization, unsecured claims are reduced to approximately $0.053 per dollar and paid out in shares based on the share emergence price of $9.41 per share. Accordingly, the shares remaining in reserve for issuance to unsecured claimants are sufficient for resolution of approximately $15 million in unsecured claims.
- How long until all remaining bankruptcy claims are resolved?
Penn Virginia strives to resolve outstanding claims as quickly as reasonably possible and is hopeful that all remaining claims will be resolved by early 2018. However, the timing of resolution of claims is subject to many factors, many of which are beyond Penn Virginia's control. It is possible that resolution of remaining claims will take longer than anticipated.
- I acquired restricted shares in connection with the bankruptcy. How can I convert the restricted shares to unrestricted shares?
Holders of restricted shares may convert their restricted shares to unrestricted shares by contacting their brokers and following the procedures provided for the transfer set forth in a Notice of Conversion provided through DTC and attached hereto. You should consult your attorney regarding transfers of unregistered shares of stock; Penn Virginia does not provide legal advice to its shareholders.