On November 7, 2017, ExGen Texas Power, LLC (the “Debtor”), a Delaware corporation, and certain of its affiliates (collectively, the “Debtors”) filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court for the District of Delaware. According to the Declaration of David Rush, the Debtor’s Chief Restructuring Officer, the Debtors provide natural gas-fired power generation throughout Texas and provide electric power to approximately 24 million Texas customers. As the catalyst for their bankruptcy filings, the Debtors cite the downturn in the energy sector and resulting decrease in energy market prices as causing them to realize an unsupportable decrease in profit. Leading up to the bankruptcy filing, certain of the Debtors entered into a stalking-horse purchase agreement with a non-debtor, Exelon Generation Company, LLC (“ExGen”), whereby ExGen will acquire Debtor-Hadley Power, LLC for $60 million, subject to higher and better offers and approval of the Debtors’ plan of reorganization. This stalking-horse purchase agreement appears to have the support of the Debtors and secured lenders. Based on the Debtor’s bankruptcy petition, it anticipates that funds will be available for distribution to unsecured creditors. The Debtor estimates that the number of creditors is between 200 and 999, and lists its liabilities as between $500 million and $1 billion. Further, the Debtor’s Consolidated List of Creditors who hold the 30 largest unsecured claims is comprised of exclusively trade debts appearing to be related to energy-related activities. The Debtors have sought authority to pay pre-petition claims of certain critical vendors totaling approximately $6 million, as well as to pay outstanding pre-petition purchase orders for goods and services that have not yet been delivered but are integral to the Debtors’ businesses.The case is styled In re ExGen Texas Power, LLC, et al. and is case number 17-12377 pending in the United States Bankruptcy Court for the District of Delaware.A copy of the Declaration of David Rush can be accessed by clicking here.For further information, please contact a Thompson & Knight Bankruptcy and Restructuring Attorney.For more information on the Thompson & Knight Bankruptcy and Restructuring Practice, please click here.  ExGen Texas Power Holdings, LLC; Wolf Hollow I Power, LLC; Colorado Bend I Power, LLC; Handley Power, LLC; Mountain Creek Power, LLC; LaPorte Power, LLC.