SBD/14/Finance

L.A. GEAR FILES FOR REORGANIZATION BUT DETAILS SKETCHY

          L.A. Gear has filed for "reorganization under Chapter
     11," according to James Peltz of the L.A. TIMES.  The
     company made the filing "after reaching a restructuring pact
     with a group representing holders" of $50M of L.A. Gear
     bonds.  Last October, PCH Investments acquired a 42% stake
     in the company.  The new restructuring "calls for, among
     other things, eliminating L.A. Gear's existing common stock"
     on the NASDAQ.  Under the proposed overhaul, "newly created
     shares of L.A. Gear preferred stock -- which would be
     convertible into common shares -- would be distributed to
     PCH Investments, the bondholders and other creditors.  It
     "wasn't immediately disclosed how much of L.A. Gear each
     group will own" (James Peltz, L.A. TIMES, 1/14). 

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