Fearing bankruptcy, Rexene files debt plan. (plan to exchange high-interest bonds for longer term, fixed-rates notes)

Fearing bankruptcy, Rexene files debt plan

In an attempt to stave off bankruptcy, Dallas-based Rexene Corp. has filed a plan with the U.S. Securities and Exchange Commission to exchange $403 million in high-interest bonds for longer term, fixed-rate notes.

Already the center of a storm regarding debt it incurred in 1988 that some say was designed to benefit a small group of insiders, the highly leveraged petrochemical products manufacturer announced last month that it would have to refinance its debt or go bust.

In the SEC filing, the company claims that it has been unable to arrange refinancing of its current increasing rate notes (IRNs), which force the company to increase the interest paid to …