Edison Mission Energy’s (EME) Plan of Reorganization and related sale of substantially all of EME’s assets to NRG Energy Inc. was approved by the U.S. Bankruptcy Court. The approved Plan incorporates the Settlement Agreement reached on February 18, 2014 between EME, Edison International and certain of EME’s creditors.
Under the Plan of Reorganization and consistent with the Settlement Agreement, EME will emerge from bankruptcy free of liabilities and remain a subsidiary of Edison International. Assets and liabilities of EME that are not otherwise discharged in the bankruptcy or sold to NRG will be transferred to a newly-formed trust under the control of EME’s creditors, other than certain income tax and pension related liabilities being assumed by Edison International under the Settlement Agreement.
Regarding assets of EME’s portfolio of renewable and conventional generation that are acquired by NRG, those assets will make NRG the largest US power company with about 53,600 MW of generating capacity. EME’s substantial wind generation portfolio, combined with NRG’s leading solar portfolio, will make NRG the third-largest US-based renewable energy generation company.
