Getting your house in order
Understand your counterparty risks
It is very important in the present climate to understand your contracts and your counterparty risks. We are finding an increasing number of clients “stress testing” their contracts and considering the consequence of an insolvency event. This is good practice; particularly since to identify weaknesses in structures and counterparty risk upon insolvency may afford you the time to fix it before things do go wrong.
Where are the documents?
The following is a list of some recent larger U.S. bankruptcy filings in various industries. To the extent you are a creditor to any of these debtors, or other entities which may have filed for bankruptcy protection, you as a creditor are entitled to certain protections under the Bankruptcy Code.
AUTOMOTIVE
Auto parts maker Contech U.S., LLC, subsidiaries file for Chapter 11 protection in Michigan.
Fluid Routing Solutions, Inc., subsidiaries file Chapter 11 in Delaware.
GROCERY STORES
The following is a broad overview of the duties and liabilities of directors when their company is in financial difficulties. It is a general guide only and there will be variations according to the specific laws in each jurisdiction.
The following is a list of some recent larger U.S. bankruptcy filings in various industries. To the extent you are a creditor to any of these debtors, or other entities which may have filed for bankruptcy protection, you as a creditor are entitled to certain protections under the Bankruptcy Code.
AUTOMOTIVE
Parts maker Checker Motor Corp. files for Chapter 11 protection in Michigan.
Parts maker Contech U.S., LLC, affiliates files for Chapter 11 protection in Michigan.
PACKAGING
What are the options for companies in financial difficulty in Taiwan?
If the company is listed on the Taiwan stock exchange, then the company may pursue a formal reorganisation as set forth under Article 282 of the Company Act.
If a listed company (as referred to above) is unable to pursue reorganisation, and in respect of all other companies, a company will enter into a formal bankruptcy procedure under the Bankruptcy Act in order to implement an equitable and orderly repayment scheme amongst its creditors.
The following is a list of some recent larger U.S. bankruptcy filings in various industries. To the extent you are a creditor to any of these debtors, or other entities which may have filed for bankruptcy protection, you as a creditor are entitled to certain protections under the Bankruptcy Code.
AMUSEMENT PARKS
HRP Myrtle Beach Holdings converts to Chapter 7; unable to find post-petition financing.
BANKING
Silver State Bancorp files Chapter 7 petition in Nevada.
Introduction This briefing complements our other publications on corporate restructuring and the sale or purchase of distressed assets.
What are the options for companies in financial difficulty in the PRC?
Summary
The international banking crisis has hit hard. German banks and companies are also affected. This briefing provides an insight on questions that are typically raised when persons are exposed to insolvency situations which involve proceedings initiated in Germany or abroad but have a connection to Germany in certain aspects.
When does German Insolvency Law apply?
A grim report on bankruptcy filings was recently issued by the Administrative Office of the U.S. Courts. Federal bankruptcy filings increased by 30% for the 2008 fiscal year ending September 30, 2008. Business filings increased by 49% to 38,700 from 26,000 for the 2007 fiscal year. Individual bankruptcies, the bulk of all bankruptcy filings, increased 30%, to 1.043 million from 801,000 in 2007 fiscal year. States showing the largest number of filings on a per capita basis are Tennessee, Nevada, Georgia, Alabama, and Indiana.
AUTOMOTIVE
EZ Lube LLC, Express Lube Inc. filed for Chapter 11 protection in Delaware.
Key Plastics files prepackaged Chapter 11 petition; secured $20M in DIP financing.
Precision Parts International filed Chapter 11 petition; commences winding down operations.
BROADCASTING
Equity Media Holdings, Corp. filed for Chapter 11; secured lender seeks conversion to Chapter 7
ENERGY