Central bank forum the Bank for International Settlements laid out a blueprint on Sunday for how to recapitalise a major lender in the event of a failure, seeking to avoid the sort of chaotic ad hoc rescues seen since 2008's financial crash, Reuters reported. Authorities have been grappling since the collapse of U.S. investment bank Lehman Brothers five years ago with the question of how banks regarded as systemically important - or too big to fail (TBTF) - can be recapitalised without causing panic and without needing taxpayer cash.

Home buyers and investors are turning their backs on Mexico's low-income housing darlings, bringing a government-fueled boom that lasted more than a decade to a screeching halt. Scores of new homes in far-flung communities sit empty, while banks have canceled credit lines to some of the country's biggest housing companies, The Wall Street Journal reported. Homebuilders Urbi Desarrollos Urbanos SAB and Corporación Geo SAB, after luring more than $1 billion in foreign capital via overseas bond sales, skipped debt payments in April while they attempt to stave off bankruptcy.

Goldman Sachs Group Inc., which is already providing Arcapita Bank $350 million in bankruptcy exit financing, is now seeking to give the Bahrain investment firm a $175 million bankruptcy loan that would pay off existing lender Fortress Investment Group LLC, Nasdaq.com reported on a Dow Jones Business News story. In a Monday filing with U.S. Bankruptcy Court in Manhattan, Arcapita said the Goldman loan would pay off the $105 million still owed to Fortress and later convert into the $350 million exit loan that Goldman is already providing.

Three bond restructurings totaling about $9.7 billion in the Caribbean this year are failing to ignite economic growth and may not help the region avoid more defaults, according to Moody’s Investors Service, Bloomberg reported. The bond swaps this year didn’t go far enough to fixing the Caribbean’s “unsustainable” mix of debt and deficits, Warren Smith, the president of the Caribbean Development Bank, said May 22.

Japan's Elpida Memory Inc asked U.S. Bankruptcy Court in Delaware on Wednesday to enforce its reorganization plan sale to Micron Technologies Inc, a final step to creating the world's second-largest maker of memory chips, Thomson Reuters News & Insight reported. Boise, Idaho-based Micron has been losing money as the market for personal computers steadily loses ground to smartphones and tablets. Acquiring Elpida will allow Micron to create greater economies of scale and will rank the company behind Samsung Electronics in the memory chip market.

Creditors of struggling Mexican homebuilder Homex could seek accelerated payment of the company's debt after Homex missed payments on derivative positions, according to a filing on Wednesday, Reuters reported. Failure to meet payments due on derivatives "arguably" constitutes an event of default on debt owed by Mexico's second-largest homebuilder, the company said in its delayed annual filing with the U.S. Securities and Exchange Commission. The company at the end of December had a total of $900 million in three bonds due in 2015, 2019 and 2020, according to its fourth-quarter report.

Lawyers for Ulster Bank have applied to a US court seeking to intervene in the bankruptcy proceedings of property developer Sean Dunne so the bank can proceed with its own bankruptcy proceedings against him in Ireland, the Irish Times reported. Ulster Bank said that Mr Dunne’s filing for bankruptcy in the US was the “culmination of extraordinary efforts” by him to “avoid the application of Irish law to an Irish national with respect to Irish debts and Irish assets”.

Micron Technology Inc. moved a step closer to its takeover of bankrupt Japanese memory chip producer Elpida Memory Inc. this week, The Idaho Statesman reported. The Tokyo High Court tossed out an appeal by creditors to a Tokyo District Court's approval of the company's reorganization plan which calls for Micron to take over the Japanese company. Micron’s acquisition of Elpida will give the memory chip company a larger share of the market for dynamic random access memory used in PC’s and mobile devices.

Mexican home builders and their creditors have been hiring U.S. bankruptcy lawyers and other advisers, as the companies struggle with mounting debt obligations, The Wall Street Journal reported. Two of the country's leading builders—Urbi Desarrollos Urbanos SAB and Corporación Geo SAB—missed debt payments in April and have reported dismal earnings. Urbi is considering a bankruptcy filing in Mexico as one option, some people familiar with the matter said. The two builders have tapped a combination of U.S. financial advisers and law firms, according to people familiar with the hirings.

A bankruptcy court on Monday approved Central European Distribution Corp's bankruptcy exit plan, putting Russian billionaire Roustam Tariko on the verge of adding one of the world's largest vodka producers to his stable of companies, Thomson Reuters News & Insight reported. Under the plan, green lighted in U.S. Bankruptcy Court in Wilmington, Tariko will receive all of the Polish company's newly issued stock in return for $277 million he is providing for the benefit of its creditors.