GenOn filed for bankruptcy as a restructuring plan was finalized that will see GenOn taken over by creditors, and NRG Energy pay some $260 million in cash to settle claims against it related to its GenOn ownership

On June 12, 2017, NRG Energy, Inc. entered into a restructuring support and lock-up agreement with GenOn Energy, Inc., GenOn Americas Generation, LLC, certain of GenOn’s and GAG’s directly and indirectly-owned subsidiaries, but not including GenOn Mid-Atlantic, LLC, an indirect and wholly-owned subsidiary of GenOn and GAG, certain holders representing greater than 93% in aggregate principal amount of GenOn’s outstanding senior unsecured notes and certain holders representing greater than 93% in aggregate principal amount of GAG’s outstanding senior unsecured notes signatory thereto

The RSA, and the bankruptcy plan contemplated thereby, will implement a comprehensive restructuring that, among other things, is expected to delever the GenOn Entities’ balance sheet by approximately $1.75 billion, facilitate GenOn’s transition to a standalone power generation company, and consensually resolve potential claims the GenOn Entities may have against NRG in connection with, among other things, the services agreement, dated as of December 20, 2012, by and between NRG and GenOn.

In exchange for full releases from GenOn, GAG and the Consenting Holders, NRG will provide settlement consideration of: (a) $261.3 million in cash; (b) continued and amended shared services as set forth above; (c) retention of certain historic pension liabilities under the existing NRG pension plans (including payment of approximately $13.2 million of 2017 pension contributions due on account of GenOn employees); and (d) other consideration in varying forms

See full details of the agreement here, in an 8-K