Sorenson Communications, Inc. announced it has reached an agreement with a substantial majority of its owners and second lien note holders on the terms of a comprehensive debt restructuring, a move that will significantly strengthen its balance sheet. To implement the restructuring, the company is seeking expedited confirmation of a pre-packaged Chapter 11 plan of reorganization, filed today with the United States Bankruptcy Court in the District of Delaware.

Sorenson expects operations will continue uninterrupted, and the filing is not expected to affect Sorenson's users, employees, interpreters or suppliers. As part of the process, the company is seeking approval to pay suppliers in the ordinary course and to continue all programs benefiting users, as well as customary relief to continue its wage and benefit programs for its employees.

Sorenson is requesting a hearing to approve the restructuring plan and to set an expedited schedule for the company's emergence from Chapter 11. The company expects the Chapter 11 process to conclude within 60 days.

"The industry is forced to make changes as a result of the evolving regulatory landscape. Despite these regulatory challenges, Sorenson remains committed to continue to enable deaf and hard-of-hearing people to access functionally-equivalent telephone services," said Scott Sorensen, Chief Financial Officer of Sorenson Communications, Inc. "We have taken steps to ensure that the bankruptcy process will not affect our users, employees, interpreters or suppliers, and we intend to move forward as quickly as possible to complete our restructuring. We are very pleased that our note holders and our owners are supportive of the steps we have taken to improve our balance sheet."

Sorenson Communications is a provider of industry-leading communications products and services for the deaf and hard-of-hearing. The company's offerings include Sorenson Video Relay Service® (SVRS®), the highest-quality video interpreting service; the Sorenson ntouch® VP videophone, designed especially for use by deaf individuals; ntouch® PC, software that connects users to SVRS by using a PC and webcam; ntouch® for Mac®, software that connects users to SVRS by using an Apple® computer; ntouch® Tablet, which turns the Apple iPad® with a front-facing camera into a larger-screen mobile VP; and ntouch® Mobile, an application empowering SVRS communication via mobile devices.