It is a document filed in a chapter 11 case by the debtor designed to provide “adequate information” to creditors to allow them to evaluate the chapter 11 plan of reorganization. The disclosure statement provides such information as the debtor’s financial history, the cause of financial difficulties, claims and other financial data, any pending litigation, and a summary of the plan of reorganization.

http://www.uscourts.gov/FederalCourts/Bankruptcy/BankruptcyBasics.aspx