COMPROMISE PLAN FOR SIDNEY'S SEEMS OK WITH CREDITORS

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, January 22, 1992                   TAG: 9201220095
SECTION: BUSINESS                    PAGE: B-4   EDITION: METRO 
SOURCE: GEORGE KEGLEY
DATELINE:                                 LENGTH: Medium
COMPROMISE PLAN FOR SIDNEY'S SEEMS OK WITH CREDITORS
Creditors of the Sidney's Inc. chain on Tuesday withdrew objections to a proposed reorganization plan after changes gave them rights to more of the company's assets and more voting power on its financial structure.
As a result, Andy Goldstein, lawyer for the creditors' committee, predicted the plan will be approved at a confirmation hearing scheduled for March 10 at 3:30 p.m. in U.S. Bankruptcy Court.
The women's apparel chain has cut its operations from 58 stores to its 20 most profitable units after filing for reorganization a year ago.
Central Fidelity Bank and the creditors' committee have withdrawn their objections and Dominion Bank, another creditor, supports the modified plan, according to Goldstein.
John Fishwick Jr., Sidney's lawyer, said the company is satisfied with the modified plan, arranged through compromise with the creditors. He said the modifications are not major.
The creditors will not receive cash up front, Goldstein said, but the plan has several provisions that may bring payments.
One of the assets of the company is 50 acres that Sidney Weinstein, Sidney's owner, has planned to sell for development. Sidney's has sued in Bankruptcy Court to allow access to the tract from Peakwood Drive in South Roanoke.
Neighboring homeowners oppose the access. The land was appraised nearly three years ago at $750,000. If access to the property is permitted by the court, the value will be "materially increased," according to court papers.
Weinstein's neighbors are trying to move the property-access suit from bankruptcy court to a state court.
The company's downtown building and a $1.2 million company-paid insurance policy on Weinstein's life are other assets that may have value for creditors, depending on the amount of liens against them, Goldstein said.

by Archana Subramaniam by CNB by Archana Subramaniam by CNB