Industrial Fire Protection Company KFI Receives Court Approval of First Day Motions

Approval Allows Company to Continue Meeting Obligations to Stakeholders in the Ordinary Course

ASHLAND, Mass., May 17, 2023 /PRNewswire/ -- Kidde-Fenwal, Inc. (the "Company" or "KFI"), an industrial fire detection and suppression company, today announced that the Honorable Laurie Selber Silverstein of the United States Bankruptcy Court for the District of Delaware has granted the relief requested by the Company in key motions related to ordinary course business activities and matters related to case management (the "First Day Motions"), including the continuation of employee wages and benefits.

Among other relief, the Court granted approval for KFI to continue paying contract workers, utilities and certain vendors (for pre-petition claims); using existing cash management systems; and relying on the Shared Services Agreement with parent Carrier Global Corp. All First Day Motions were granted on an interim basis except for KFI's motion to retain Stretto as its claims and noticing agent, which was granted on a final basis. A hearing to consider final relief on the remaining First Day Motions will take place on June 23, 2023 at 10:00 AM Eastern Daylight Time.

The First Day Motions were filed on May 14, 2023, in conjunction with KFI's petition for voluntary reorganization filed under chapter 11 of the United States Bankruptcy Code.

"Approval of our First Day Motions provides additional certainty to our customers, employees, suppliers and other stakeholders regarding our continued operation in the ordinary course following the commencement of our Chapter 11 sale process," said Stephen Hannan, Chairman of the Board of Directors of KFI. "Our ability to continue providing the industry-leading products and high-quality service we have delivered for many years is vital to our efforts to protect the value of KFI as we explore strategic alternatives, including a sale of the Company as a going concern."

Court documents and additional information, including all documents filed in the Chapter 11 case, can be found at the website administered by KFI's claims agent, Stretto, at https://cases.stretto.com/kfi, or by calling the Company's restructuring information line, toll-free in the U.S., at +1 (866) 887-0488 (Toll-Free). For calls originating outside of the U.S., please dial +1 (949) 889-0128.

KFI is being advised by Guggenheim Securities as investment banker; AP Services, an affiliate of AlixPartners, as financial and restructuring advisor; and Sullivan & Cromwell LLP and Morris, Nichols, Arsht & Tunnell LLP as legal counsel. KFI's independent directors are represented by Schulte, Roth & Zabel LLP.

About KFI

Kidde-Fenwal, Inc. (KFI) is an industrial fire detection and suppression company that operates two commercial business lines, Kidde Fire Systems and Fenwal Controls. Kidde Fire Systems is a world leader in the development and manufacture of fire detection and suppression systems, serving a wide range of industries including manufacturing, data centers, commercial cooking, marine and more. With a long history of providing standard and custom engineered solutions for many industries, Fenwal Controls offers a broad range of agency-approved gas ignition and temperature controls. KFI was founded in 1987 and is headquartered in Ashland, Mass.

Forward Looking Statements

Certain statements in this press release are forward-looking statements, within the meaning of US federal securities laws. Forward-looking statements express views of the Company regarding future plans and expectations. They include statements that include words such as "expect," "intend" and similar words or expressions. These statements are based on numerous assumptions and are subject to known and unknown risks and uncertainties. Actual future results may vary materially from those expressed or implied in these forward-looking statements, and our business, financial condition and results of operations could be materially and adversely affected by numerous factors.  As a result, forward-looking statements should be understood to be only predictions and statements of our current beliefs and are not guarantees of performance.

Media Contacts

Robert Mead
Teneo
[email protected]

Tucker Elcock
Teneo
[email protected]

SOURCE Kidde-Fenwal, Inc.