Adelphia bankruptcy proceedings continue

Almost six years after Adelphia Communications Corp. spiraled into bankruptcy, the distribution of assets is continuing.

A company that once employed upwards of 1,700 people at corporate headquarters in Coudersport is now operated with a tiny staff situated in Coudersport as well as a rented office suite in Denver.

Among the assets still on the books are several real estate parcels, including the massive Operations Building located on South Main Street in downtown Coudersport. An internet-based auction for that building produced a high bid of $3.4 million, but the bidder has not closed on the property. Zero To Sell Real Estate of Los Angeles, Calif., represents the winning bidder.

Rumors have swirled that the building, which was constructed at a cost of about $30 million, could be demolished and sold for salvage.

Buyers have been found for some of the other Coudersport area properties. Krise Bus Service acquired the former Kightlinger Motors lot at Mill and Dwight streets, where the company will store and service school buses.

A separate parcel, the former International Paper Company office and warehouse on East Second Street, near Goodenough Plaza, is being sold to the Potter County Redevelopment Authority and leased to AP Wagner.

This week, the Adelphia estate announced distribution of another $216 million in cash and 737,476 shares of Time Warner Cable Class A Common Stock to holders of allowed claims against the parent Adelphia Communications Corp.

Payouts are approved by the court under an amended Chapter 11 plan of reorganization. The Time Warner shares have a "deemed value" under the Plan of $28 million, and a fair market value as of Jan. 28 of $18 million.

Additional distributions will be made by the Adelphia estate over time as a result of the release of escrows, reserves and holdbacks.

Adelphia Communications Corp. continues under the management of Quest Turnaround Advisors, LLC, its plan administrator, to liquidate its assets and administer its plan of reorganization.

Prior to the sale of substantially all of the consolidated assets of Adelphia to Time Warner and Comcast on July 31, 2006, Adelphia was the fifth largest cable television company in the country.

At the time of its Chapter 11 bankruptcy petition in June 2002, Adelphia served more than 2.4 million customers in 31 states with video services, high-speed internet access and other advanced services over its broadband networks.