Getty Realty Corp. Enters into a Stipulation Regarding Getty Petroleum Marketing
Getty Realty Corp. (NYSE: GTY) today announced it entered into a Stipulation relating to the Chapter 11 bankruptcy proceeding initiated by Getty Petroleum Marketing (“Marketing”). The Stipulation is between the Company, Marketing, and the Official Committee of Unsecured Creditors in Marketing's bankruptcy proceedings. The Stipulation is subject to the approval of the Bankruptcy Court at a hearing that will be held on April 2, 2012. No assurances can be given that the Stipulation will be approved by the Bankruptcy Court.
The Company wants an orderly transition of control of the properties that were previously leased to Marketing and to reposition the portfolio as quickly and efficiently as possible to maximize cash flow from these assets. The Company expects that the Stipulation, if approved by the Court, will help achieve these objectives while limiting the costs associated with potential litigation.
Marketing has paid the Company $10.3 million of approximately $19.0 million in fixed rent due to the Company for the period December 5, 2012 through March 31, 2012 and Marketing is expected to make payment to the Company of another approximately $1.5 million on or before April 1, 2012. All unpaid amounts due from Marketing under the Master Lease for periods after filing of the bankruptcy (including real estate taxes, which are not being paid by Marketing but are being advanced by the Company) become due and payable on April 30, 2012.
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