Enron Recovery Rate Hits 50 Percent !

For those of you who are still follwoing the Enron case. H.

June 3, 2008 (Associated Press) -- DALLAS - Enron says it distributed more than $6 billion in the past month to creditors of the bankrupt energy-trading company, pushing the recovery by creditors to more than 50 cents on the dollar.

Enron Creditors Recovery Corp. said Monday that with the latest distributions, creditors of the former Enron Corp. had received 50.3 cents on the dollar and creditors of Enron North America Corp. had gotten back 50 cents on the dollar. Both figures excluded gains, interest and dividends.

John J. Ray III, president and chairman of the recovery corporation, said creditors had received "significantly more than originally was anticipated under the plan."

The recovery corporation said it made a distribution Monday totaling about $4.17 billion to holders of unsecured and guaranty claims and distributed $1.87 billion on May 13 to newly allowed unsecured and guaranty claims that resulted from a settlement with Citigroup.

Citigroup was the last remaining defendant in what was known as the "Mega Claims" lawsuit, a bankruptcy lawsuit that the Enron recovery corporation filed in 2003 against 11 banks and brokerages alleging they helped Enron hide its financial problems from creditors.

Since November 2004, Enron has returned about $20.59 billion to creditors, more than 289 percent of the original estimate, the recovery corporation said.

After Monday's distribution, the disputed claims reserve had about $613 million.

Enron Corp. imploded in 2001, leading to the loss of thousands of jobs, more than $60 billion in Enron stock value and more than $2 billion in employee pension plans.

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