Hallmark Financial Files for Chapter 11 in Texas

Hallmark Financial Services files a voluntary petition for reorganization under Chapter 11 of the Bankruptcy Code in the Northern District of Texas after entering into a restructuring support agreement with Hildene Capital Management and certain affiliates.

• Hildene’s clients collectively comprise the majority holder of Hallmark’s debt obligations
• Petition includes a prepackaged plan of reorganization allowing solicitation of alternatives, Hallmark Financial says in statement
• Company expected to emerge from Chapter 11 in less than 90 days
• Insurance company subsidiaries are not part of the proceeding and remain well-capitalized
• Company has sufficient cash on hand and does not require debtor-in-possession financing

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