Luksay Will Benefit from Partner’s Rise in Value, Not the Bondholders

Honorable Justice Brenner of the District Court ruled today that Suny Electronics, controlled by Jacob Luxenburg, is entitled to benefit from the increase in the value of Partner shares owned by the Company, which were pledged to secure payment of the Company’s debentures and that any proceeds received from the sale of the shares belong solely to the Company, The court rejected the request of the trustee for the debenture holders, Reznik Paz Trusts Ltd., to declare that the debenture holders are entitled to a difference between the amount paid to the holders of the early repayment bonds and the consideration received from the sale of the Partner shares.