Say Goodnight Comdisco

Nearly a year after Comdisco filed for
bankruptcy protection, the formerly high-flying computer-services
company said it reached an agreement with its committees of creditors and
shareholders on a three-year plan to sell its remaining assets..

“This will allow us, in an orderly fashion, to determine how to sell them
off,” said Comdisco spokesperson Mary Moster. “We’re going to try to
maximize the value.”

Although Moster said the plan would allow it to emerge from bankruptcy in
August, she confirmed the plan would mean the effective end of the Rosemont,
Ill., company in 2005.

Comdisco continued the unloading of its leasing division, which was the
company’s biggest revenue generator. Last night, it closed the sale of its
health-care leasing assets to GE Capital for $117 million. GE Capital also
paid Comdisco $24 million in a second closing for Comdisco’s electronics,
lab and scientific assets. GE Capital paid $548 million in a first closing
two months ago.

Comdisco’s fire sale has been in the works since April 2001, when it
retained Goldman, Sachs and McKinsey to explore options for emerging from a
financial cloud created by bad loans, a sagging venture division, and a
failed broadband division. In July 2001, the company filed for bankruptcy.

In February, Comdisco received bankruptcy court approval for the sale of its
IT control and predictability unit to T-Systems. Last October, Hewlett
Packard swooped in to pick up Comdisco’s Availability Solutions business for $750
million.

With the runoff and the company’s cash, Comdisco said creditors would
recover about 90 percent, while shareholders will not fair as well,
recovering as little as 3 percent and a maximum of 37 percent. The voting on
the plan begins next week, concluding on July 19.