Judges Appear Skeptical of EPA Permit Requirement for St. Croix Refinery
U.S. appeals court judges on Wednesday appeared skeptical of the U.S. Environmental Protection Agency's claim that it can require an idled oil refinery in the U.S. Virgin Islands to obtain a costly new pollution permit before restarting operations, Reuters reported. During oral arguments in St. Croix, a three-judge panel of the Third U.S. Circuit Court of Appeals questioned whether the federal Clean Air Act allows the agency to require Port Hamilton Refining and Transportation LLLP, the refinery's owner, to obtain the permit, since they are typically only necessary for new projects.
German Airline Lufthansa Signs Deal for Minority Stake in Italy’s Struggling ITA Airways
German airline Lufthansa on Thursday signed a deal with the Italian government for a 41-percent minority share in the long-struggling ITA Airways, formerly Alitalia, the Associated Press reported. The deal calls for investments of 575 million euros in capital increases, 325 million euros from Lufthansa and the rest from the Italian Finance Ministry, providing capital for growth. Lufthansa will also have the option of buying the remaining shares at a later date.
German Economy Entered Recession as Inflation Hurt Consumers
The German economy was in recession in early 2023 after household spending in Europe's economic engine finally succumbed to the pressure of high inflation, Reuters reported. Gross domestic product fell by 0.3% in the first quarter of the year when adjusted for price and calendar effects, a second estimate from the statistics office showed on Thursday. This follows a decline of 0.5% in the fourth quarter of 2022. A recession is commonly defined as two successive quarters of contraction.
Goldman, BBVA Say Dollar Weakness to Boost Mexican Peso
Analysts from Goldman Sachs & Co and XP Investimentos are betting a fresh bout of dollar weakness can fuel gains in the Mexican peso, the world’s best performing currency, Bloomberg reported. The bullish calls come after the currency — dubbed the “super peso” because of its astounding rally — gave up some of its gains amid political noise at home and a global selloff amid U.S. debt-ceiling talks. Despite recent losses, the peso is still up 9.5% against the dollar this year, the best major currency in the world in that span.
Energy Bills for Most Britons to Fall as Price Cap Cut
Most British households, many feeling a cost-of-living squeeze, can expect cheaper energy bills from July after regulator Ofgem slashed its price cap to reflect a slump in wholesale costs, Reuters reported. Britain has the joint-highest rate of inflation among the Group of Seven nations along with Italy, and official data this week showed consumer prices rose 8.7% in annual terms in April, slowing from March, but still at elevated levels.
Analysis: Why President Lula Is Clashing with Brazil’s Central Bank
When Luiz Inacio Lula da Silva was Brazil’s leader from 2003 to 2011, he didn’t have to contend with an independent central bank, according to an analysis in The Washington Post. Reelected president in October, he has resisted the new reality created by a 2021 law enshrining the bank’s power to set monetary policy autonomously. He has called the law “nonsense” and publicly criticized the bank’s inflation goals and interest rates, creating tension with its chief, Roberto Campos Neto.
Permira Takes Control of Italian Luxury Suppliers Hub Florence
Investment firm Permira has acquired the majority of Gruppo Florence, in a deal which a source close to the matter said valued the hub of Italian luxury clothing and leather goods manufacturers at more than 1 billion euros ($1.1 billion), Reuters reported. The deal announced on Thursday highlights a trend among private-equity funds, which after running out of big brands to buy, have locked on to the challenges of the luxury industry's supply chain and turned to a "buy and build" strategy.
Once a Symbol of China’s Growth, Now a Sign of a Housing Crisis
The rows of towering buildings crowding the banks of the Gan River are a testament to the real estate boom that transformed Nanchang in eastern China from a gritty manufacturing hub to a modern urban center, the New York Times reported. Now those skyscrapers are evidence of something very different: China’s real estate market in crisis, reeling after years of overbuilding.
Pratt & Whitney Says India's Go First Has No Right over Engines
Pratt & Whitney has no engines currently available for India's Go First airline, which also has no rights over them, the counsel for the U.S. firm told a Delaware court on Thursday as the two companies engaged in a raging dispute over the supplies, Reuters reported. The Indian airline has approached the Delaware court to enforce an arbitration order it won in Singapore against Pratt & Whitney, which it blames for its financial troubles and argues the U.S. firm failed to supply engines on time. Pratt says those claims are without merit.
UBS Gains EU Antitrust Approval to Acquire Credit Suisse
UBS on Thursday won unconditional EU antitrust approval to acquire Credit Suisse as part of a government-orchestrated rescue of its Swiss rival, Reuters reported. The European Commission said the deal would not raise competition concerns in Europe, confirming a Reuters story earlier this month. "The combined entity will continue facing significant competitive pressure from a wide range of competitors in all of those markets, including several major global banks as well as specialist providers and strong local players," the EU competition watchdog said in a statement.
Resources by Country & Region
Welcome to Spain, prepacks!
José Carles and Carlos Cuesta comment on the recent ruling of a Commercial Court of Barcelona approving the first pre-packaged sale in Spain as well as on the brand-new guidelines for prepacks issued by the Commercial Courts of Barcelona.
Spain: New Restructuring Plans under the Transposition of the EU Directive
Spain published the transposition of the Directive on Preventive Restructuring and Insolvency in its Official Gazette on 6 September 2022.
ABI-Live: The Conflict in Ukraine: Impact on Capital, Markets and Boardrooms
From the pandemic to Europe’s largest military conflict since World War II, it seems the world is moving from one extraordinary period to another. The conflict in Europe has generated a maze of rapid legal, political and economic responses from authorities around the globe. Those actions are rippling through capital, markets and boardrooms as businesses grapple with how to respond. Join ABI and a panel of experts to discuss where we are headed and what businesses should consider.
Adjusting a pre-insolvency scheme to respond to the COVID-19 crisis by Nuno Líbano Monteiro and Catarina Guedes de Carvalho
According to the OECD, Portugal is in the top three countries in terms of implementing new measures to face this COVID-19 pandemic. However, regarding the legal framework of insolvency and restructuring, the only direct, exceptional and temporary measure approved by the Portuguese authorities was to suspend the time limit for the debtor itself to petition for insolvency, with effect from 7 April 2020. No pre-insolvency exceptional measures have been adopted.
The Preventive Restructuring Directive - What next: A Pre-pack Directive? by Adrian Thery
The Directive (EU) 2019/1023 on preventive restructuring frameworks ("the Directive") was passed on 20 June 2019 bringing about a change of paradigm in corporate restructuring. A change that should allow the States of the European Union to catch up with countries adhering to the Anglo-Saxon model, both in restructuring and insolvency matters and also upstream, in financial matters, due to the influence of the insolvency legislation on the provision of credit ex-ante.
European Union Regulation on Insolvency Proceedings: An Introductory Analysis, Fourth Edition
This updated edition describes the framework of the European Insolvency Regulation Recast (adopted in June 2017), reviews its major rules, highlights the differences from the old EIR 2000, and makes references to the most important and recent cases of the Court of Justice of the European Union. An essential guide for non-European judges, practitioners and scholars who are confronted with this domain of law, as well as anyone dealing with EU-related cross-border cases, this book serves as a concise and comprehensive introduction to the EIR Recast.
Chapter 15 for Foreign Debtors
Chapter 15 for Foreign Debtors covers all aspects of the UNCITRAL Model Law on Cross-Border Insolvency as well as chapter 15 of the Bankruptcy Code, and provides details about the Foreign Representative, avoidance actions, creditor protections, concurrent proceedings, comity and much more. The book also includes an extensive appendix filled with more than 500 pages of sample case documents and forms related to chapter 15 proceedings.
Guide To Islamic Finance
This book is the latest addition to our list of publications and it provides basic information on Islamic finance. It is meant to be a useful reference tool to the majority of insolvency practitioners who do not work in this field. The chapters in this book were selected on the basis that it is expected that most INSOL members currently have very limited understanding of Islamic finance.
The book has 10 chapters, a country study, and an annexure with a glossary of Islamic finance terms. Following the introductory chapter there are chapters on: