UPDATE 2-Oriental Trading files prearranged bankruptcy

* Lists assets in the $100 million to $500 million range

* Liabilities in the $500 million to $1 billion range

* Some first-lien lenders to provide $40 mln DIP financing
(Adds details on agreement with lenders, history of company)

NEW YORK, Aug 25 (BestGrowthStock) – Oriental Trading Co
[OTCHLT.UL], owned primarily by private equity firms Carlyle
Group [CYL.UL] and Brentwood Associates, filed for bankruptcy
on Wednesday, citing a heavy debt load and declining sales.

The retailer of party and hobby supplies has reached a
prearranged plan with some lenders which would help it cut debt
by 70 percent.

Oriental Trading has agreed to give first lien lenders 100
percent of the reorganized company and a new term loan of $200
million, in exchange for the $404 million in claims that they
hold.

Some lenders have also agreed to provide $40 million in
debtor-in-possession financing, to help fund operations while
the company reorganizes.

The deals are subject to bankruptcy court approval.

Oriental Trading listed assets in the range of $100 million
to $500 million. It said it had liabilities of $500 million to
$1 billion.

The company calls itself the largest U.S. direct marketer
and Internet marketer of party supplies and children’s arts and
crafts. It was founded in 1932 in Omaha, Nebraska, where its
executive offices are still based.

The case is In re OTC Holdings Corp, U.S. Bankruptcy Court,
District of Delaware, No: 10-12636.

(Reporting by Chelsea Emery and Santosh Nadgir; Editing by
Gerald E. McCormick and Richard Chang)

UPDATE 2-Oriental Trading files prearranged bankruptcy