The US Bankruptcy Court gave an order to Chapter 7 Trustee for Teletouch Communications Inc. to obtain DIP financing on October 28, 2013. As per the order, the trustee has been authorized to obtain a DIP facility from Downtown Partners, L.P. in the amount equal to budgeted costs and fees to collect receivables and maintain and preserve the debtors' corporate headquarters through closing. The financing will not accrue interest and would mature either on December 17, 2013 or as mutually extended by the Trustee and DCP and approved by court order.

The DCP Funding will be secured by replacement and priming liens and super priority administrative expense claims which is subject to a carve-out towards unpaid professional fees / administrative expenses. The proceeds of dip financing would be used for payment of the items referenced in the budget to assist the trustee in collecting the receivables, selling the debtors' corporate headquarters and satisfying administrative costs.