Headlines

The former head of New Zealand's biggest private dairy operation is expecting to be able to pull an offer together for receivers this week, but admits he's got no idea whether it will be enough to stave off receivership, The New Zealand Herald reported. Allan Crafar says he is considering "three very good options" from overseas interests, which he hopes to be able to present in the next few days.

Professionals and people on high incomes are declaring bankruptcy faster than ever before in Australia, according to a study that reveals levels have risen by more than a third in the past four years, The Sydney Morning Herald reported. Analysing the nation's cases over the past decade, the report shatters the myth that most people who file for bankruptcy are either the chronically poor who have no other options or the Alan Bond-style wealthy declaring complete financial free-fall.

The reform of the UAE's insolvency framework is at the centre of government plans to address vulnerabilities in the country's financial system, a top official said on Sunday, ArabianBusiness.com reported. Sheikh Ahmed Bin Saeed Al Maktoum, chairman of the Supreme Fiscal Committee and chairman of Emirates Group, said "urgent steps" were being taken to address gaps in the UAE's legal and regulatory infrastructure.

Planet Organic Health Corp. is set to be acquired by its principal creditor, the Edmonton-based natural and organic products retailer said Friday. Planet Organic received bankruptcy protection last month under the Companies' Creditors Arrangement Act when more than $31.1 million in debt was called in by Catalyst Capital Group Inc., the Edmonton Journal reported. The Toronto private-equity firm, which invests in distressed companies, had bought the debt from Ares Capital Corp. in April.

A finance consortium that owns most of the property of insolvent German retailer Karstadt will submit a bid for all 120 department stores after reaching a deal with unions over wage concessions, Bild am Sonntag reported. Highstreet, a vehicle led by Goldman Sachs, agreed in exchange to give the 25,000 strong workforce a stake of roughly 15 percent in Karstadt, making it now the frontrunner in the bidding war, according to the German Sunday weekly.

Germany's Parliament on Friday approved the country's contribution of up to €147.6 billion ($184.7 billion) to a massive €750 billion bailout from European Union countries and the International Monetary Fund for euro-zone states on the verge of a default, The Wall Street Journal reported. The Upper House of Parliament signed off on the bill after the Lower House approved it earlier Friday in a heated debate, with criticism from opposition parties. Some lawmakers of Chancellor Angela Merkel's center-right parties didn't back the measures.

The European Commission Thursday cleared the €1.5 billion recapitalization given by Belgium to the insurance company Ethias for the company's restructuring, Dow Jones reported. The Commission concluded that Ethias' restructuring plan will restore the company's viability, without distorting competition due to the state support. In order to participate in the costs of the restructuring, Ethias will sell or wind down its retail life insurance business and a number of other assets, the Commission said. The insurer ran into severe difficulties in 2008 in the wake of the financial crisis.

Furniture manufacturer Thulema filed itself for bankruptcy in Harju County Court today, saying that liquidity problems and difficult market situation makes it impossible for the company to meet its restructuring plan that was approved last October, reported aripaev.ee. The shareholders of Thulema are Finland's Puustelli Group with 29% of shares, BenSov OÜ (18%), Triomentor (35%) and Revalbonus (18%). The three last-named shareholders acquired a holding in Thulema in December 2009. As of April 30, Thulema's liabilities were 40.2 million kroon while assets were valued at 38.9 million kroons.

A top IMF (International Monetary Fund) official said Wednesday that the euro’s recent falls bring the currency nearer to what should be considered a more balanced level for the medium term, suggesting the IMF doesn’t view the fall in the value currency as a threat to the global economy, Finfacts reported. On Wednesday, the euro was sold off after Germany banned “naked short selling” (bets on movements without having any commitment to buy or borrow instruments) of Eurozone government bonds and the shares of ten German financial firms.

Dubai World's agreement with its core bank creditors to extend maturities on loan repayments and pay back debt at likely lower interest rates sets an example of how Dubai and Greece could manage their debt problems, Deutsche Bank's (DB) chief executive in the Middle East and North Africa said Friday. "They started a process, the market is favourable, it's an indication of how things should be done," Henry Azzam told Zawya Dow Jones on the sidelines of an economic forum in Lebanon.