Modification to Plan of Reorganization by Digital Wireless Systems, Inc.

Summary

Digital Wireless Systems, Inc. has filed a modification to its Plan of Reorganization in its Chapter 11 bankruptcy case. The modification allows holders of certain debt instruments (10% Senior Secured Certificates and 12% Junior Secured Notes) to convert their debt, including accrued interest, into equity at a specified rate. Restrictions on transferring the resulting common stock are removed. Additionally, schedules listing assumed and excluded leases and contracts are added to the plan. This modification is submitted before the plan's confirmation in bankruptcy court.

EX-2.2 3 0003.txt MODIFICATION OF PLAN OF REORGANIZATION Exhibit 2.2 UNITED STATES BANKRUPTCY COURT MIDDLE DISTRICT OF TENNESSEE IN RE: CASE NO. 398-10899 CHAPTER 11 DIGITAL WIRELESS SYSTEMS, INC., JUDGE PAINE Debtor. - --------------------------------- DEBTORS MODIFICATION TO PLAN OF REORGANIZATION ---------------------------------------------- Digital Wireless Systems, Inc., the Debtor in the above styled and numbered case, after acceptance and before confirmation, files this Modification to its Plan of Reorganization as follows: 1. Section 10.3 - Class 1(c) - 10% Senior Secured Certificates of Indebtedness - Subsection (a) Option to Convert to Common stock and Warrants; is modified as follows: (a) Option to Convert to Common Stock and Warrants: The holders of the Certificates of Indebtedness shall have the option to convert their Certificates of Indebtedness into Unites of Equity by receiving two Units of Equity for each One Dollar and 00/100 ($1.00) of debt, including interest through the date of conversion. (d) Restriction on Transfer of Common Stock: Deleted. 2. Section 10.4 - Class 1(d) - 12% Junior Secured Notes - Subsection (a) Option to Convert to Common stock and Warrants; is modified as follows: (a) Option to Convert to Common Stock and Warrants: The holders of the 12% Junior Secured Notes shall have the option to convert their Notes into Units of Equity by receiving two Units of Equity for each One Dollar and 00/100 ($1.00) of debt, including interest through the date of conversion. (d) Restriction on Transfer of Common Stock: Deleted. 3. Section 13 - Unexpired Leases and Security Contracts is modified by adding Schedules 1 and 2, attached hereto, which schedules list the leases and contracts assumed under the Plan and were excluded from the Plan as originally filed. Respectfully submitted, DIGITAL WIRELESS SYSTEMS, INC. By:______________________________ David Schlueter Chief Executive Officer ATTORNEYS FOR DEBTOR: SIDNEY J. DIAMOND, L.L.P. By:________________________ Sidney J. Diamond 3800 N. Mesa, Suite C-4 El Paso, Texas 79902 ###-###-#### (Voice) (915) 496-0653 (Fax) Attorneys for Debtor