KINGSTON, Pa. -- Diamond Glass has won final approval in its Chapter 11 case to borrow $7 million in new debtor-in-possession financing from Guggenheim Corporate Funding LLC. Guggenheim is acting as agent for the senior secured lenders, inclusive of the $3.1 million the company was authorized to borrow on April 2.

The court also approved both the going concern sale process and the sale timetable proposed by the company. An auction is expected to be conducted on June 5.

These rulings follow negotiations that led to a settlement of all objections brought by the Official Committee of Unsecured Creditors. According to the company's bankruptcy counsel

Michael Richman of Foley & Lardner LLP, more than 40 different parties had signed the paperwork and received preliminary financial and other information

The Bankruptcy Court also gave final approval to all the motions to which interim approval had previously been granted on April 2, including motions to pay employee benefits, prepetition wages, critical vendors and otherwise to continue to operate fully in the ordinary course of business.

"We are extremely pleased to have agreement with our Creditors' Committee to support our company and our sale process. We have done as well as we could possibly have hoped in assuring the best chances for the Company's long-term survival," said President Bill Cogswell.

As previously reported, the company filed for Chapter 11 protection on April 1, to continue a sale and restructuring process in order to address a heavy debt burden it had acquired over the years.

Diamond Glass is one of the nation's oldest and leading providers of automotive glass replacement and repair services. Founded in 1923 by the Levine family and headquartered in Kingston, Pa., the business grew into a network of 217 service centers and 900 mobile installation vehicles in 42 states, serviced by three distribution facilities located in Kingston; Columbus, Ohio; and Atlanta, Ga. Approximately 1,600 people are employed by the company, including field technicians, customer service representatives, sales associates and corporate associates.

To learn more about Diamond Glass, go to: http://www.diamondtriumph.com.