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Ralph Roberts Realty, LLC and Ralph R. Roberts Announce Confirmation of Consensual Plan of Reorganization
* Under approved plan, Ralph Roberts Realty, LLC and Ralph R. Roberts successfully confirmed their joint plan of reorganization, and emerged from bankruptcy.

STERLING HEIGHTS, Mich., Feb. 12, 2013 /PRNewswire/ -- On May 25, 2012, Ralph Roberts Realty, LLC ("Realty") and its majority owner, Mr. Ralph R. Roberts, both filed voluntary petitions for Chapter 11 reorganization in the U.S. Bankruptcy Court for the Eastern District of Michigan. Realty and Mr. Roberts determined that Chapter 11 reorganization was in their best interest and the most beneficial course of action for their stakeholders, creditors, investors, and employees in order to manage and reorganize millions of dollars of legacy settlement costs.

During the eight months that Realty and Mr. Roberts spent in bankruptcy, they continued conducting normal business operations while they restructured their debt, costs and other obligations. Ralph Roberts Realty, LLC continues profitable operations for the benefit of all current investors and continues employee pay and benefits.

On January 23, 2013, Realty and Mr. Roberts reached a compromise with their largest unsecured creditors, which led to the confirmation of Realty and Mr. Roberts' Fifth Amended Combined Joint Plan of Reorganization and Disclosure Statement (the "Plan"). Under the terms of the Plan, Realty and Mr. Roberts will pay all administrative costs of the bankruptcy, which include professional fees, and will provide a distribution to all unsecured creditors.

Mr. Roberts will receive his bankruptcy discharge shortly, and Realty will continue its operations without interruption during the distribution period. Realty and Mr. Roberts' unsecured creditors, secured creditors and other constituencies support and concur with the Plan and its proposed distribution.

"The confirmation of the Plan enables Realty and Mr. Roberts to emerge as reorganized entities and shed millions of dollars of burdensome legacy costs related to historical operational settlements," says Hannah McCollum, Bankruptcy Attorney for Ralph Roberts. "Realty and Mr. Roberts will now devote their full focus to continuing and strengthening their existing business, which includes traditional real estate operations, tracking and evaluating distressed properties for investors and bankruptcy trustees, and locating and selling probate assets for the benefit of probate estates. Realty continues to report increased profitability and cash flow, and both Realty and Mr. Roberts believe that the bankruptcy process has enabled their strong future and successful business."

SOURCE Ralph Roberts Realty, LLC

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