IN RE FOXMEYER CORP.

Bankruptcy Nos. 96-1329(MBM) to 96-1334(MBM), Adversary No. A97-34(MBM).

286 B.R. 546 (2002)

In re FOXMEYER CORPORATION; Foxmeyer Drug Company; Healthcare Transportation System, Inc.; Merchandise Coordinator Services Corporation; Foxmeyer Software, Inc.; and Healthmart, Inc., Debtors. Bart A. Brown, Jr., as Chapter 7 Trustee, Plaintiff, v. General Electric Capital Corporation, the CIT Group/Business Credit, Inc., Bank America Business Credit, Inc., Heller Financial, Inc., La Salle Business Credit, Inc., Sanwa Business Credit Corp., the Bank of New York Commercial Corp., Corestates Bank, N.A., FSB Business Finance Corp., First National Bank of Boston, Nationsbank of Texas, N.A., BTM Capital Corp., Gibraltar Corp. of America, and National City Commercial Finance, Inc., Defendants.

United States Bankruptcy Court, D. Delaware.

November 19, 2002.


Attorney(s) appearing for the Case

Howard W. Schub, David M. Friedman, Kasowitz, Benson, Torres & Friedman, LLP, New York City, Joseph Farnan, III, Phillips, Goldman & Spence, Wilmington, DE, for the Trustee.

Patrick A. Murphy, Michael K. Maly, San Francisco, CA, for G.E. Capital Corp.

David M. Schiffman, Sidley, Austin, Brown & Wood, Chicago, IL, for the remaining Defendants.

Erik Sobkiewicz, Pittsburgh, PA, for all of the Defendants.


MEMORANDUM OPINION

M. BRUCE MCCULLOUGH, Bankruptcy Judge.

Bart A. Brown, Jr., the Chapter 7 trustee (hereafter "the Trustee") of the above-captioned debtors (hereafter "the Debtors") and plaintiff herein, seeks in the instant adversary proceeding to avoid as either fraudulent or preferential the pre-petition incurrence of obligations and the pre-petition transfer of liens by FoxMeyer Drug Company (hereafter "Fox Drug"), one of the Debtors, to General...

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