MADISON, Wis. (WSAU) - A Wisconsin based bank’s bankruptcy plan has been approved by a federal judge. Anchor BanCorp Wisconsin filed for Chapter 11 reorganization last month. That’s the parent company of AnchorBank.
The company issued a statement Friday saying there are other conditions to meet, and they need approval from banking regulators.
Anchor BanCorp Wisconsin filed for bankruptcy when they could not settle with three banks that loaned them 116 million dollars in 2008. If the plan is approved by regulators, they would be able to erase that debt and raise new investment capital totalling over 175 million dollars.
The parent company is affected by the bankruptcy, but company officials say this won’t affect day to day business at AnchorBank locations.