NORTH WALES, Pennsylvania — TSG Incorporated has filed its Chapter 11 Plan of Reorganization with the United States Bankruptcy Court. The announcement comes after the company recently announced a "significant" transaction with a subsidiary of Ahlstrom Corporation. In it's proposal to the bankruptcy court, which will go to hearing at the end of March, TSG will restructure its long-term bank debt and offer returns to its unsecured creditors. 

“Our organization is excited, motivated, and ready to exit bankruptcy,” said Jeffrey Goldman, president and chief operating officer.   “While this process certainly has facilitated the our recovery, we look forward to getting back to business outside of bankruptcy protection.  We appreciate and are thankful for our loyal employees, customers and suppliers, all of whom continue to show tremendous support for TSG  during our reorganization.”  
 
TSG expects to emerge from bankruptcy in the second quarter of 2011.