FTX Debtors File Initial Plan of Reorganization and Term Sheet

Intends to File Amended Plan Reflecting Stakeholder Feedback in the Fourth Quarter of 2023

WILMINGTON, Del., July 31, 2023 /PRNewswire/ -- FTX Trading Ltd. (d.b.a. FTX.com), and its affiliated debtors (together, the "FTX Debtors"), today announced the filing of its initial Plan of Reorganization (the "Plan") and related Term Sheet (the "Term Sheet") with the U.S. Bankruptcy Court. 

John J. Ray III, Chief Executive Officer and Chief Restructuring Officer of the FTX Debtors, said: "We are pleased today to deliver on our commitment to file the Plan at this relatively early stage ? before the expiration of the customer bar dates, the completion of our pending investigations and the preparation of a disclosure statement. This is expected to facilitate creditor feedback to further discuss open issues in the Plan with stakeholders, including the unsecured creditors committee, the ad hoc committee of non-U.S. customers and other parties with whom we have been in discussion. Our goal is to achieve a consensual plan and emergence from bankruptcy. We are committed to working through these matters in the third quarter of 2023 and to filing an amended plan and a disclosure statement in the fourth quarter of 2023."

Mr. Ray continued, "I would like to thank the entire FTX Debtors team for helping us to reach this milestone in the Bankruptcy process, while at the same time continuing the hard work underway to maximize recoveries for customers and creditors. I would especially like to give my deepest gratitude to the independent Board of Directors who have devoted substantial time and energy from the early difficult days of this bankruptcy and throughout the last several months to provide the necessary governance and leadership as we navigated through these difficult matters."

The Plan contemplates a proposed global settlement and good-faith compromise of an exceptionally large and complicated collection of claims, causes of actions and disputes involving the FTX Debtors, including both claims against the FTX Debtors and intercompany claims by various FTX Debtors against other FTX Debtors. The related Term Sheet serves as a summary of the proposed plan to facilitate review by interested parties.

U.S. Bankruptcy Court filings and other documents related to the court proceedings, including copies of the Plan and accompanying Term Sheet, are available at https://cases.ra.kroll.com/FTX/.

Advisors

The FTX Debtors are represented by Sullivan & Cromwell LLP as legal counsel and are assisted by Alvarez & Marsal North America, LLC as financial advisor, Perella Weinberg Partners LP as investment banker, Quinn Emanuel Urquhart & Sullivan, LLP as special counsel and Landis Rath & Cobb LLP as Delaware counsel.

SOURCE FTX