Milbank LLP advised the term lenders in an out-of-court restructuring of retailer Charlotte Russe for 100% of its term loan debt. Under the agreement, the term lenders will receive 100% of the equity of Charlotte Russe – subject to dilution from a management equity incentive plan – in exchange for reducing Charlotte Russe’s debt from approximately $214 million to $90 million, reducing the annual interest expense by nearly half, and extending maturity to February 2023. The agreement also required the retailer to obtain a significant amount of annualized operational savings as a condition of the out-of-court restructuring. The Milbank team was led by Financial Restructuring partners Dennis Dunne and Mark Shinderman and Corporate partner Melainie Mansfield. Mr. Shinderman said: “We are very pleased to have worked with BRG on behalf of the term lenders in this transaction. All parties, including Charlotte Russe’s management team and advisors (Cooley and Moelis), other stakeholders, and the lenders, worked closely together to ensure the successful completion of the out-of-court restructuring. We look forward to seeing the positive impact this restructuring has on Charlotte Russe as the company works to drive profitability and pursue its strategic goals.”