Butte, MT – Moonlight Basin and Lehman Brothers submitted a plan to U.S. Bankruptcy Court on Friday under which the New York investment bank will take control of the Montana ski and snowboard resort located in Big Sky.

The settlement, submitted to U.S. Bankruptcy Judge Ralph Kirscher in Butte, arises out of a $100 million loan that Moonlight defaulted on in 2009. In court documents, Moonlight’s management claimed that under the terms of the loan Lehman Brothers had agreed to either sell the resort or provide long-term financing  within three months. Under the terms of the agreement, which will pay secured creditors and provide a recovery plan for unsecured creditors of the resort, those claims have been dropped.

Both parties agree that the ski resort, which is joined by lifts and trails on Lone Mountain with Big Sky Resort to provide the largest contiguous ski resort terrain in the U.S., will continue to operate under the plan.

“This agreement further ensures Moonlight will remain financially stable with continued long-term operations,” Moonlight Chief Operating Officer Russ McElyea said in a press release issued by the resort. “Our summer and winter programs will continue to deliver outstanding experiences for our guests. Moonlight Basin is an integral part of the Big Sky community, and this agreement will deliver a positive outcome for our employees, vendors, guests and for the community as a whole.”