China's Suntech Power Plans U.S. Bankruptcy Filing

China's onetime solar-power giant Suntech Power Holdings Co. plans to file for bankruptcy protection in U.S. court as its leaders negotiate with the holders of more than $500 million in U.S. convertible bonds, according to people familiar with the matter, The Wall Street Journal reported. Suntech Power Holdings, which was once the world's largest solar panel maker, defaulted on its U.S. debt in March, and financial professionals in the Cayman Islands—where the holding company is incorporated—have been trying to negotiate a repayment plan with bondholders. Suntech plans to file for protection under Chapter 15, the section of the Bankruptcy Code that deals with international insolvencies. If recognized by a U.S. judge, the solar panel maker will receive the benefits of U.S. bankruptcy law, including the so-called automatic stay that halts lawsuits and prevents creditors from seizing assets. The filing is expected by Feb. 21, according to the people familiar with the matter. Read more. (Subscription required.)