Rural/Metro Fire files for bankruptcy
By Kevin Keen. CREATED Aug 5, 2013
NEW YORK (AP) - Ambulance and fire protection services provider Rural/Metro Corp. says that it filed for Chapter 11 bankruptcy reorganization, after reaching a deal with its lenders to cut its debt by about half.
The company, which provides services in 21 states, says its operations are expected to continue normally throughout the process.
Rural/Metro said Sunday it will also receive a cash infusion of $135 million as part of its agreement with lenders and bondholders, which will be filed in U.S. Bankruptcy Court for the District of Delaware.
Rural/Metro, which is based in Scottsdale, Ariz., and owned by private equity firm Warburg Pincus, expects to complete its restructuring by the fourth quarter of this year.