Court Confirms Goody's Reorganization Plan

Knoxville, Tenn. Goody's Family Clothing announced that a U.S. judge approved its reorganization plan as a part of an effort to emerge the company from bankruptcy.

Goody's said it expects it will formally exit bankruptcy in 10 days.

The company filed for bankruptcy protection June 9, noting that it was hurt by high gasoline and food prices that have forced consumers to cut back on nonessential purchases.

"Our company has made great progress over the past few months," Goody's CEO Paul White said in a statement. "We have created a stronger and more nimble organization that is more effectively positioned."