A $1.5-billion reorganization plan for troubled First...

A $1.5-billion reorganization plan for troubled First City Bancorporation of Texas Inc. is crucial to the company’s survival, documents filed with the Securities and Exchange Commission indicate. The bailout plan is being held up by debt holders who are refusing to tender their securities for less than face value. First City has extended its tendering deadline for a fourth time and lowered the participation level to 70% from 90%. First City’s board is convinced that the company has no realistic alternative and that the plan’s failure would eventually mean the bank’s failure.