Keyword: bankruptcy

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  • Detroit elected officials regain city control

    09/25/2014 8:57:19 PM PDT · by Olog-hai · 16 replies
    Associated Press ^ | Sep 25, 2014 10:05 PM EDT | Corey Williams
    The Detroit City Council on Thursday unanimously approved a plan to return oversight of daily operations to elected officials while retaining the city’s state-appointed emergency manager to oversee bankruptcy matters until they are resolved. Kevyn Orr, who was appointed by the state in March 2013 to manage Detroit’s troubled finances and who took the city into the largest municipal bankruptcy in U.S. history, said Thursday that Detroit is “more than ready for the change.” …
  • Trump casinos file Chapter 11; seek concessions (Atlantic City)

    09/10/2014 5:50:59 AM PDT · by C19fan · 16 replies
    AP ^ | September 9, 2014 | Wayne Parry
    Trump Entertainment Resorts filed for bankruptcy Tuesday and threatened to shut down the Taj Mahal Casino Resort, which would make it the fifth Atlantic City casino to close this year. The company owns Trump Plaza, which is closing in a week, and the Taj Mahal, which has been experiencing cash-flow problems and had been trying to stave off a default with its lenders. The company said the Taj Mahal could close Nov. 13 if it doesn't win salary concessions from union workers.
  • Detroit’s historic bankruptcy trial to begin

    09/02/2014 1:37:42 AM PDT · by Olog-hai · 12 replies
    Associated Press ^ | Sep 2, 2014 2:05 AM EDT | Corey Williams
    Lawyers for Detroit will attempt to convince a federal judge at the city’s bankruptcy trial that its plans to wipe out billions of dollars in debt should be approved. After some delays, the start of the trial Tuesday in U.S. District Court comes just over 13 months after Detroit became the largest U.S. city to file for bankruptcy. Detroit expects to cut $12 billion in unsecured debt to about $5 billion, which is “more manageable,” according to Bill Nowling, a spokesman for emergency manager Kevyn Orr. …
  • Another For-Profit College Bites The Dust

    08/30/2014 8:26:41 PM PDT · by 2ndDivisionVet · 6 replies
    The Daily Caller ^ | August 30, 2014 | Blake Neff
    Nearly 10,000 students across the country are facing an uncertain future following the sudden collapse of another for-profit college system this week. After a summer which saw the dramatic collapse of Corinthian Colleges, fellow for-profit education company Anthem Education is rapidly closing its doors after the company filed for bankruptcy this week. Prior to filing for bankruptcy, Anthem Education had no fewer than 34 different campuses around the country. That number is in rapid free fall, with nine campuses shutting down Friday after the Department of Education failed to approve a deal that would temporarily keep them open. Anthem’s collapse...
  • Paul Ryan: Big government has U.S. at ‘tipping point’

    08/29/2014 8:43:14 AM PDT · by afraidfortherepublic · 33 replies
    Watchdog.org ^ | 8-26-14 | Ben Yount
    It is no longer a question of how much government Americans want. The only question is how much government Americanscan afford. And the former Republican vice presidential candidate, U.S. Rep. Paul Ryan, R-Wis., said the answer is becoming clear. “I talk about this in the book,” Ryan told Watchdog Radio Monday. “About very progressive policies. About the outcomes they produce, and how they bankrupt governments.” Ryan writes in his new book, “The Way Forward: Renewing the American Idea”, that the federal government has expanded entitlement programs, Medicare, Social Security and now Obamacare, to the point where they cost far more...
  • Atlantic City is going bust if it can’t break the gambling habit

    08/14/2014 6:44:12 AM PDT · by C19fan · 20 replies
    Washington Post ^ | August 14, 2014 | Max Ehrenfreund
    The winning streak has run cold for Atlantic City, N.J. Earlier this week, the upscale Revel Casino Hotel announced it will close, bringing the total number of casinos in the city expected to close by the end of the year to four. Thousands of workers are confronting unemployment. The state has long guaranteed Atlantic City a monopoly on gambling within New Jersey's borders, but gambling revenues there have been declining due to increased competition from new casinos in neighboring states and the lingering effects of the financial crisis. The monthly report from the state Division of Gaming Enforcement issued Wednesday...
  • US is Bankrupt: $89.5 Tril. in US Liabilities vs. $82 Tril. in Household Net Worth & Gap is Growing.

    08/04/2014 7:19:38 PM PDT · by SeekAndFind · 29 replies
    Biderman's Money Blog ^ | 08/04/2014 | Chris Hamilton
    There are many ways to look at the United States government debt, obligations, and assets. Liabilities include Treasury debt held by the public or more broadly total Treasury debt outstanding. ThereÂ’s unfunded liabilities like Medicare and Social Security. And then the assets of all the real estate, all the equities, all the bonds, all the depositsÂ…all at todayÂ’s valuations. But letÂ’s cut straight to the bottom line and add it all upÂ…$89.5 trillion in liabilities and $82 trillion in assets. There. ItÂ’s not a secret anymoreÂ…and although these are all government numbers, for some strange reason the government never adds...
  • Coal company bankruptcies accellerating [Obama keeping his campaign promise]

    07/26/2014 11:41:06 AM PDT · by SeekAndFind · 14 replies
    American Thinker ^ | 07/25/2014 | Rick Moran
    Bloomberg is reporting on the increase in coal company bankruptcies in recent years, due to the switch by power companies to natural gas and fracking, which has flooded the market with cheap gas. Driving this conversion is the prospect of new, draconian rules to be issued by the EPA on emissions from coal plants. Exports are failing to save U.S. miners. Slowing Chinese growth and rising competition from overseas, including increased Australian output, have sent the price of metallurgical coal, used in steelmaking, to a six-year low. Central Appalachian thermal coal, used in power plants to produce electricity, fell on...
  • Let Students Discharge College Debts In Bankruptcy? Yes, But...

    07/25/2014 5:42:54 AM PDT · by reaganaut1 · 46 replies
    Forbes ^ | July 24, 2014 | George Leef
    Ever since the obstreperous Occupy Wall Street protests of 2011, Americans have been getting an earful about the alleged crisis of student loan debt. Sensing a chance to appear both compassionate and pro-education, many lawmakers want to do something to ease the plight of indebted students. Senator Elizabeth Warren, for example, is pushing her populist plan of allowing students to refinance their loans at absurdly low interest rates. President Obama recently expanded the touchy-feely repayment system so that students would never have to pay more than ten percent of their discretionary income for 20 years before the rest of the...
  • Detroit retirees back pension cuts by a landslide

    07/22/2014 6:54:56 AM PDT · by Olog-hai · 9 replies
    Associated Press ^ | Jul 22, 2014 9:13 AM EDT
    A year after filing for bankruptcy, Detroit is building momentum to get out, especially after workers and retirees voted in favor of major pension changes just a few weeks before a judge holds a crucial trial that could end the largest public filing in U.S. history. Pension cuts were approved in a landslide, according to results filed shortly before midnight Monday. The tally from 60 days of voting gives the city a boost as Judge Steven Rhodes determines whether Detroit’s overall strategy to eliminate or reduce $18 billion in long-term debt is fair and feasible to all creditors. Trial starts...
  • Detroit retirees vote in favor of Pension Cuts

    07/22/2014 4:12:53 AM PDT · by taildragger · 17 replies
    Link only:http://www.clickondetroit.com/consumer/detroit-retirees-vote-in-favor-of-pension-cuts/27081476Many covering this Story at this early Stage can't be posted on FR.
  • Detroit showing signs of recovery ahead of bankruptcy trial

    07/21/2014 9:48:56 AM PDT · by SeekAndFind · 60 replies
    The Guardian ^ | 07/21/2014
    Detroit neighbourhoods are being relit, its vacant homes are being sold off or torn down, its public transportation is cleaner and more often on schedule and the city has renegotiated some burdensome union contracts. In the little more than a year since the state-appointed emergency manager, Kevyn Orr, made Detroit the largest US city to seek bankruptcy protection, it has experienced a wide range of improvements that will factor into Judge Steven Rhodes's decisions during next month's bankruptcy trial. A major piece of the bankruptcy puzzle could fall into place on Monday, with the expected release of the results of...
  • First Detroit, Now Flint Warns Bankruptcy "Train Is Headed For The Cliff"

    07/20/2014 4:22:59 AM PDT · by Zakeet · 29 replies
    Zero Hedge ^ | July 19, 2016
    Flint may be Michigan’s second city to plunge into bankruptcy unless retirees accept cuts in health benefits that threaten to unravel a balanced budget. As Crain's Detroit reports, Emergency Manager Darnell Earley (Flint’s third emergency leader since it was placed under state control in 2011) warned "If we have no ability to mitigate the cost of retiree health care, that’s going to make it very difficult for the city to remain financially stable over the next few years." As Eric Scorsone notes, "Flint's at the forefront, but a lot of cities are on the same train, and that train is...
  • Holding Company Of Portugal's 2nd Largest Bank Just Filed For Bankruptcy Protection

    07/18/2014 12:41:10 PM PDT · by Former Proud Canadian · 10 replies
    Zerohedge ^ | July 18, 2014 | Tyler Durden
    Following this morning's farce of huge investor demand and then Bank of Portugal's Costa 'hoping' for demand from investors willing to pile more money on losing money into Espirito Santo, it appears things have escalated rapidly... *ESPIRITO SANTO INTERNATIONAL SAYS IT CAN'T MEET OBLIGATIONS *ES INTERNATIONAL APPLIES FOR `CONTROLLED MANAGEMENT' REGIME *ES INTERNATIONAL APPLIES FOR REGIME UNDER LUXEMBOURG LAW The "controlled management" application is the equivalent of declaring a breakup or controlled bankruptcy process (as we explained here). ESI is the ultimate HoldCo in the Banco Espirito Santo family.
  • Kuhner Report: Mayor Judy Kennedy tells Jeff that illegal aliens are bankrupting Lynn.

    07/15/2014 8:17:50 AM PDT · by Prolixus · 26 replies
    Kuhner Report on WRKO ^ | July 15, 2014 | Jeff Kuhner
    <p>“Weekday morning from six to ten on WRKO. Important hours for. 3617666868. Here on AM 680. WRKO. And now I’m 93 point seven HDQ. My friends as I’ve been talking about for the last couple of days. Lynn. Has now become in many ways ground zero. For the immigration crisis engulfing this country. And now. Berlin’s mayor. Judy Kennedy. Has now come out and sad that — is basically now at the breaking point.</p>
  • Detroit Retirees Asked to Pay for Decades of Democrat Government

    07/08/2014 5:05:54 PM PDT · by Kaslin · 61 replies
    Townhall.com ^ | July 8, 2014 | Michael Schaus
    Retired city workers in the Liberal Utopia of Detroit are being asked whether or not they want the city to exit bankruptcy, by slashing retirement pensions and cost of living adjustments. Officials are urging retirees to agree to a 4.5 percent cut in pension payouts, and an end to COLA. Unsurprisingly, some former city workers are less than thrilled by the idea of taking a pay-cut in an attempt to lessen the city’s debt obligation. Now, I understand the retirement pension of an average city worker is not amazingly lush in the city of Detroit; but (and this is...
  • Argentina Is Getting Exactly What It Deserves

    07/03/2014 9:41:28 AM PDT · by blam · 20 replies
    Bi ^ | 7-3-2014 | Linette Lopez
    Linette LopezJuly 3, 2014Argentina has its back against a wall. On July 30 it may default on a sovereign-debt payment that could send its economy into a tailspin of rising interest rates, money printing, and inflation. It could be the worst economic tragedy the republic has seen since 2001. And the tragedy will be well deserved, because this is a drama of Argentina's own making, a figment of political imagination tied closely with its history and culture. In Argentina, debt is identity, and this specific over-$1.3 billion debt in question, purchased by a group of hedge fund managers back in...
  • This Is How A Hedge Funder Brings An Entire Country To Its Knees

    06/27/2014 1:47:18 PM PDT · by blam · 14 replies
    BI ^ | Linette Lopez
    Linette LopezJune 27, 2014 Right now Argentina is in danger of a calamity, the likes of which the world hasn't seen since 2001, and it's all because of one hedge fund manager's tried and true strategy to make money off of distressed debt. That's right, bringing a country to its knees is a "strategy." According to a U.S. court's ruling, if Argentina does not pay a group of hedge fund managers over $1.3 billion worth of bonds by July 30, the Republic could go into default. If it goes into default — investors lose faith its capacity to pay, interest...
  • It is "I CAN'T STAND CANTOR" Day in the State of Virginia! VOTE!!!!!!!

    06/10/2014 6:04:59 AM PDT · by Graewoulf · 24 replies
    Graewoulf | June 10, 2014 | Graewoulf
    This is Primary Election Day for Virginia politicians. Encourage all Conservatives in Virginia to VOTE today! "Rubberstamp for Obama," Eric Cantor is "hellbent" on ramming through the US House Obama's Amnesty for Illegal Alien Invaders from Mexico. The GOP-E Leadership in the US House, (Boehner, Cantor, and Ryan), is always gullible to Obama's tricks. Consequently, Boehner, Cantor and Ryan, have all pledged to ram through this unpopular Obama Amnesty Bill due to Obama's illegal decision to flood the USA with children from Mexico and Central America. It is time to kick the GOP-E out of Congressional Leadership!
  • If Detroit's Not Too Big To Fail... Neither Are Other Big American Cities

    05/23/2014 7:55:55 AM PDT · by SeekAndFind · 20 replies
    The American ^ | 05/23/2014 | By Alex J. Pollock
    With the instructive Detroit precedent, shrunken populations, and underfunded municipal pensions common, we can conclude that no city, not even Chicago, should be thought of as too big to fail. About the bonds of Detroit, Barron’s said: “A lot of investors bought this debt because they assumed that the state of Michigan wouldn’t let its largest city default.”1 In other words, they assumed Detroit was “too big to fail.” Nonetheless, Detroit did default and became the largest municipal bankruptcy in history. This bankruptcy, with unfunded municipal employee pensions among the competing creditors, is a hugely important precedent. Is any city...
  • Exclusive: Too big-to-fail pension insurer agrees to liquidation trust in ResCap NY bankruptcy

    05/23/2014 4:18:34 AM PDT · by Opinionatedtoday · 5 replies
    marinkapeschmann.com ^ | Marinka Peschmann
    Is a taxpayer bail-out inevitable? If you think it is only your mortgages and homes which are at stake in the largest bankruptcy in history being heard in the Southern District of New York’s Bankruptcy Court before Judge Martin Glenn, think again. Embedded within the claims/creditor section in the simultaneous Chapter 11 bankruptcy filings of 51 residential mortgage companies is Pension Benefit Guaranty Corporation (PBGC). Established in 1974, PBGC is a federal chartered agency that insures more than 26,000 private-sector pension plans. The agency protects the retirement incomes of over 44 million Americans. As of 2012, PBGC is running a...
  • Will Detroit Be Healed by Searching for 'Subtle Racism'?

    05/21/2014 10:59:28 AM PDT · by Kaslin · 13 replies
    Townhall.com ^ | May 21, 2014 | Ben Shapiro
    Just off of the James C. Lodge Freeway in Detroit is Eight Mile Road. The stretch near the freeway is just east of the famed area that provided the basis for the Eminem film of the same name. To its north lie predominantly white suburbs -- over 77 percent of those who live in Oakland County are white -- with median family income in excess of $65,000. Married couples comprise approximately half of households, with fewer than 15 percent of households led by a single female. Since 1990, the population of Oakland County has jumped from 1.083 million to...
  • Government Employee Unions Tee Up California's Bankruptcy

    05/17/2014 10:15:08 AM PDT · by SeekAndFind · 6 replies
    Forbes ^ | 05/17/2014 | Bill Frezza
    Half a Billion Dollars. That’s how much the California Teachers Association and the powerful Service Employees International Union have spent on California politics since 2000. The unions’ return on that “investment”? A legislature totally beholden to them for political support and campaign contributions. Here’s another mind-boggling number: Half a Trillion Dollars. That’s an estimate of the unfunded public pension liabilities racked up by California’s state and municipal governments due to overly generous pay and defined benefit pension plans lavished on unionized government employees. If you thought the bankruptcies of Stockton, San Bernardino, and Vallejo were entertaining, break out the popcorn...
  • Attention Any FReeper Lawyers;Real Estate/Bankruptcy (Ch13 to CH7)Need Trusted Answers Please

    05/09/2014 5:15:15 AM PDT · by mabarker1 · 45 replies
    Self ^ | 05/09/14 | Self
    O.K. I'm reaching out for help from people that I can trust. I need somebody with knowledge in Bankruptcy/Chapter 13 going to Chapter 7 and Real Estate Laws. My Girlfriend has the Family house and they are trying to take it. Her ONLY vehicle is also involved. I can't drive anymore so I have no vehicle. So if they take the truck She can't get to work, Doctors, etc. The only notice received at this time has been an E-Mail (from Her "Lawyer" who from what I know is basically USELESS) within the last hour. No Process Server, No Certified/Registered...
  • Exclusive: NY Judge in Largest Bankruptcy Case in History Receives IRS & SEC Whistleblower Filing

    04/26/2014 3:44:12 AM PDT · by Opinionatedtoday · 41 replies
    Creditor and Whistleblower evidence alleges securities fraud, income tax fraud and income tax evasion. Further investigation is necessary to protect millions of homeowners.New York City, New York – U. S. Bankruptcy Court, Southern District of New York’s Judge Martin Glenn, presiding over the simultaneous Chapter 11 bankruptcy filings of 51 residential mortgage companies, received a whistleblower filing package today from one of the creditors in this case, a private American citizen, Greg Morse. The Internal Revenue Service and Securities Exchange Commission received the same package today. Among its contents is Morse’s whistleblower submission of IRS Form 211—Application for Award for...
  • Jeb Bush’s rush to make money may be hurdle

    04/23/2014 6:51:44 AM PDT · by jimbo123 · 9 replies
    NY Times CNBC ^ | 4/21/14 | Michael Barbaro
    As it sought to recruit well-heeled investors, an untested and unprofitable Miami company named InnoVida brought aboard a trusted Florida figure in 2007: Jeb Bush, the former governor and the brother of a sitting president. For potential stockholders, the imprimatur of Mr. Bush, who joined InnoVida as a paid consultant and a member of the board of directors, conferred credibility on the young start-up. That credibility did not last long. It turned out that the leaders of InnoVida, a manufacturer of inexpensive building materials, had faked documents, lied about the health of the business and misappropriated $40 million in company...
  • Chrysler Bankruptcy Still Affecting Economy

    04/21/2014 6:12:32 AM PDT · by LucianOfSamasota · 19 replies
    The Foundry ^ | 19 April, 2014 | Curtis Dubay
    This month marks the fifth anniversary of the Chrysler bankruptcy. President Obama will doubtless mark the occasion by talking about how his intervention saved the auto company. More noteworthy, however, is how the lawlessness of that intervention created tremendous uncertainty, which still chills the economy today. Todd Zywicki has written an excellent summary of President Obama’s actions in the Chrysler bailout. A shorter version goes like this. Starting under President Bush and continuing under President Obama, the federal government used TARP funds to keep Chrysler afloat. This gave the government effective control over Chrysler. As a result, the Obama administration...
  • Women's clothing retailer Coldwater Creek to close its doors

    04/12/2014 8:46:11 AM PDT · by afraidfortherepublic · 54 replies
    Minneapolis Star Tribune ^ | 4-11-14 | Jackie Crosby
    <p>The women’s clothing retailer failed to find a buyer or new capital. A liquidation sale is planned.</p> <p>Women’s specialty clothing chain Coldwater Creek filed for bankruptcy on Friday and said it will close all of its stores around the country, including 11 in Minnesota.</p>
  • Brookstone files for bankruptcy protection, plans sale

    04/05/2014 7:25:17 PM PDT · by massmike · 23 replies
    bizjournals.com ^ | 04/05/2014 | Staff Boston Business Journal
    Brookstone, the seller of all sorts of unusual electronic items through channels including mall stores in Massachusetts, is filing for bankruptcy protection and plans to sell itself to rival Spencer, the Wall Street Journal reports. Brookstone has Massachusetts locations in Boston, Holyoke, Peabody, Braintree, Marlborough, Wrentham, Burlington and Natick.
  • Newark after Booker: City faces takeover threat (NJ)

    04/05/2014 11:07:49 AM PDT · by Olog-hai · 33 replies
    Associated Press ^ | Apr 5, 2014 11:59 AM EDT | Samantha Henry
    New Jersey’s largest city is hitting some roadblocks just months after its rising-star mayor went off to Washington. A bold reform plan for the state-run school system has hit a snag, the police department is facing federal oversight over citizen complaints, and the state is threatening a takeover of the city’s finances after several key deadlines were missed. An official who oversees city compliance with state obligations warned the City Council and the interim mayor last month about the state’s growing concern over Newark’s “extraordinary level of fiscal distress.” …
  • Honey Maid sends a message to critics of ad featuring gay couple

    04/04/2014 10:29:42 AM PDT · by Oliviaforever · 45 replies
    LA Times ^ | 4/4/14 | Amy Hubbard
    Honey Maid stirred controversy with a recent commercial that challenged traditional notions of what constituted a family. "This Is Wholesome" features a variety of families, including interracial couples and their mixed-race children, as well as a same-sex couple and their children. (See the commercial below.) As would be expected, Honey Maid generated a response. The company could have let it lie. Instead Honey Maid decided to make a new statement.
  • Honey Maid Found The Perfect Way To Respond To Homophobes Who Hated Its New Ad

    04/04/2014 10:34:12 AM PDT · by EveningStar · 61 replies
    Business Insider ^ | April 4, 2014 | Caroline Moss
    On March 10, Honey Maid - the graham cracker company - launched a commercial that celebrated all different kinds of families. The message was that no matter what, love is what makes a family a family... The title of the commercial was "Wholesome Love," but not everyone agreed with its message. A followup video was created by Honey Maid explaining the responses to the commercial...
  • The Obama Debt Tracker - Obama doubles America's publicly held debt in just 5.2 years

    04/01/2014 3:22:05 PM PDT · by jpl · 20 replies
    The United States Department of the Treasury ^ | Monday, April 1, 2014 | The United States Department of the Treasury
    I wish that this were just another bad April Fools' Day joke, but sadly, this story is all too real. Since President Barack Hussein Obama was inaugurated into office a little over five years ago, Obama, Pelosi, and Reid have doubled America's publicly held debt, an increase of more than 6.3 trillion dollars: Date                   Debt Held by the Public         Intragovernmental Holdings   Total Public Debt Outstanding 03/31/2014        6,307,310,739,681.66          4,319,566,309,231.42          10,626,877,048,913.08 8/19/2011          12,619,319,113,193.99 ...
  • Look at Municipal Finance Trends Before Pumping In More Money

    03/17/2014 8:09:07 AM PDT · by MichCapCon · 1 replies
    Capitol Confidential ^ | 3/16/2014 | James Hohman
    As local government officials cheered the full reimbursement of revenue loss due to phasing out personal property taxes, others questioned whether local governments require a new state funding source. But local governments are not generally in need of extra funding: they are a unique example of (mostly) successful intergovernmental cooperation and a focus on giving residents more bang for the buck. Local governments were well protected from Michigan's general malaise during the 2000s. From 2001 to 2010 when the state's economy lost 700,000 jobs, there was a general rise in the housing market, which increased property tax collections by counties,...
  • "Life After PI"--the Oscar winning FX company goes bankrupt

    03/16/2014 9:31:41 AM PDT · by LS · 12 replies
    Youtube ^ | 3/16/2014 | LS
    For you movie buffs, this is a fascinating documentary called "Life After Pi" about the special effects company called Rhythm and Hues that did the incredible effects for "Life of Pi" and "Snow White and the Huntsman." They begin by blaming "foreign subsidies" (i.e., Canadian and British subsidies for outsourcing work, often to Vancouver) and feature Obama making one of his typical stupid appearances calling for "supporting" Hollywood. But then you lean that this company, which has been in business for over 20 years, was using a poor, unsustainable business model in that it would bid "fixed" price contracts on...
  • Quiznos files for bankruptcy (tough week for fast food chains)

    03/15/2014 12:02:39 PM PDT · by SeekAndFind · 33 replies
    CNN Money ^ | 03/15/2014 | By Katie Lobosco
    Quiznos has filed for bankruptcy protection, five days after the Sbarro pizza chain did the same. Executives at the restaurant chain, known for its toasted sandwiches, agreed to a restructuring plan that will reduce its debt by more than $400 million, the company said in a statement Friday. All but seven of Quizno's 2,100 restaurants in the United States and 30 other countries are independently owned franchises, and will remain open and operating as usual. Quiznos once had more than 5,000 stores and could have threatened rival Subway's hold on the sub market. But now, Subway has nearly 20 times...
  • Toasty Or Toasted? Quiznos Follows Sbarro Into Bankruptcy [Obamanomics Fail]

    03/15/2014 3:53:14 AM PDT · by SoFloFreeper · 71 replies
    Forbes ^ | 3/16/14 | Brian Solomon
    Restaurant chains are dropping like flies this week. On Monday pizza franchise Sbarro dipped into Chapter 11 bankruptcy. Following in its footsteps on Friday, sub shop Quiznos announced that it too would sink into bankruptcy as part of a “pre-packaged” deal to cut its debt by more than $400 million, or two-thirds.
  • Sbarro files for bankruptcy protection again

    03/10/2014 8:39:38 PM PDT · by Olog-hai · 13 replies
    Associated Press ^ | Mar. 10, 2014 5:59 PM EDT
    Sbarro has filed for Chapter 11 bankruptcy reorganization for the second time in just three years as the pizza chain struggles to turn its business around amid a drop in traffic at shopping mall food courts. The bankruptcy filing on Monday comes after the company shuttered 155 of its U.S. locations last month. The Melville, N.Y., company still has about 800 locations globally, half of those in North America. The pizza chain isn’t alone in hurting from the decline in traffic at shopping malls. Earlier this year, the owner of Hot Dot on a Stick also filed for bankruptcy protection,...
  • To Celebrate The Bull Market Anniversary, Sbarro Files Second Bankruptcy In Three Years

    03/10/2014 7:48:19 AM PDT · by SeekAndFind · 11 replies
    Zero Hedge ^ | 03/09/2014 | Tyler Durden
    People apparently don't eat pizza when it is snowing... Or during an economic recovery... And certainly not when celebrating the market's all time high 5 year bull "market" anniversary. That is the conclusion one can derive from the just filed Sbarro Chapter 11 bankruptcy filing, which just happens to be the company's second in three years after it did the same in April 2011. The filing itself, which lists assets and liabilities between $100 and $500 million, is not surprising following on the heels of the announcement last month, when Sbarro said it would close 155 of 400 North...
  • 3 huge cities flirting with bankruptcy (NYC, Chicago, LA)

    03/03/2014 4:18:34 PM PST · by Libloather · 40 replies
    MSN ^ | 3/03/14 | Karen Riccio
    Detroit's looming bankruptcy is making news again, this time focusing on current restructuring plans aimed to wipe out $18 billion in debt by axing pension checks of city retirees, including police and fire. Massive long-term retirement and healthcare promises were by no means solely responsible for the city's fall, but these massive pensions coupled with a tax base weakened by high unemployment and housing vacancies caused the budget to bleed out quicker. The Michigan city may be the most recent victim of bankruptcy, but many of the 61 largest U.S. cities have adopted the same retirement legacy leading to $118...
  • Quiznos Preparing to File for Bankruptcy Protection

    02/27/2014 3:08:54 PM PST · by Perdogg · 67 replies
    Sandwich chain Quiznos is preparing to file for bankruptcy protection within weeks as it contends with declining sales and a lofty debt load, people familiar with the matter said. The company, which has about $570 million in debt, has been negotiating with creditors for weeks on a restructuring plan that would streamline its trip through bankruptcy court, these people said. A final deal on a so-called prepackaged restructuring plan hasn't yet been reached, they said.
  • Rome on the Brink as Detroit-Style Bankruptcy Meltdown Looms

    02/27/2014 10:58:06 AM PST · by Kartographer · 16 replies
    International Business Times ^ | 2/27/14 | Ian Silvera
    Italy's historic capital is on the brink of bankruptcy as its mayor plans to plead for a bailout from the national government. Mayor Ignazio Marino told the Wall Street Journal that he is in daily discussions with Italy's national government. But he stressed the parties "just needed to identify the right amount of money the government should give to Rome".
  • Detroit's Bankruptcy Plan Comes Under Heavy Assault

    02/22/2014 3:00:42 AM PST · by Libloather · 42 replies
    NBC News ^ | 2/21/14 | John W. Schoen
    The road back for Detroit seems to be getting longer. More than three months after its historic bankruptcy filing, city officials Friday offered up their proposed plan to pay bondholders, pensioners and other creditors holding its $18 billion debt substantially less then they're owed. "We think the plan is reasonable," emergency manager Kevyn Orr told reporters. "We really don't have time for a lot of acrimony and litigation." But even before Orr had a chance to formally unveil it, the plan was under heavy attack from investors, unions representing city workers and other creditors.
  • Eatery Chain ‘Hot Dog On A Stick’ Files For Chapter 11 Bankruptcy

    02/08/2014 11:58:03 PM PST · by 2ndDivisionVet · 41 replies
    KCAL-TV ^ | February 3, 2014
    Carlsbad-based chain Hot Dog on a Stick filed a Chapter 11 petition in U.S. Bankruptcy Court in Los Angeles on Monday. The company, known widely for staff in brightly-colored, striped uniforms and impaled corn dogs, said in a statement that it is seeking relief in order to reorganize and restructure its business. Hot Dog on a Stick, which currently operates 93 locations, said that it plans to continue business as usual throughout the bankruptcy proceedings. The company also said that, in addition to working to save money in the supply chain and in stores, it has made significant reductions to...
  • Puerto Rico: The Next Detroit? (Downgraded and out of options)

    02/07/2014 8:32:36 AM PST · by SeekAndFind · 27 replies
    FrontPage Mag ^ | 02/07/2014 | Arnold Ahlert
    On Tuesday, credit ratings agency Standard & PoorÂ’s downgraded Puerto RicoÂ’s general-obligation bonds to BB+, a level that is considered junk status. Similar action by rating agencies MoodyÂ’s and Fitch appears virtually certain, as the island territory copes with a staggering $70 billion of debt, all of which needs to be repaid with interest. Unfortunately, Puerto Rico has been in what amounts to a continuous recession since 2006, and its economy is currently shrinking at a 6 percent pace. The official unemployment rate is 14.7 percent, and its debt-to-GDP ratio is 93 percent.Furthermore, the island is experiencing the largest population...
  • California's — And America's — Pension Debacle On Its Way: Watch Your Wallets

    02/06/2014 6:36:25 AM PST · by SeekAndFind · 9 replies
    IBD ^ | 02/06/2014 | Mark Bucher
    Hold on to your wallets, folks. Without a powerful intervention, California may soon become the first big domino to fall in America's public pension debacle. To help prevent catastrophe, the California Public Policy Center (CPPC) has just made public a new database detailing the size and scope of the state's outsized expenditures on public employees — the largest ever compiled in California. Legislators and voters should take note, because California can't afford another round of fact-free partisan warfare. As recently reported in the New York Times, the fate of California cities such as Desert Hot Springs — where civic bankruptcy...
  • Furr’s Buffet files for Chapter 11 protection

    02/05/2014 5:10:14 PM PST · by 2ndDivisionVet · 13 replies
    The Albuquerque Journal ^ | February 4, 2014
    Texas-based Furr’s Fresh Buffet restaurant chain has filed for Chapter 11 bankruptcy protection, the company announced Tuesday. The chain employs more than 2,000 people but plans to continue operating its 29 restaurants in New Mexico, Arizona, Arkansas, Oklahoma and Texas during the Chapter 11 process. Buffet Partners LP said a December ice and sleet storm in North Texas, leaving tens of thousands of people without power and stranding drivers, severely hurt its already tenuous liquidity. Barry M. Barron Sr., who was named chief executive of Buffet Partners last June, said in a statement that because of “the challenges facing our...
  • Gone With the Wind: Weak Returns Cripple German Renewables

    01/31/2014 12:22:51 PM PST · by managusta · 14 replies
    Der Spiegel ^ | January 30, 2014 – 03:19 PM | Gunther Latsch, Anne Seith and Gerald Traufetter
    Investments in renewable energy were supposed to be a sure thing, with wind park operators promising annual returns of up to 20 percent. More often than not, however, such pledges have been illusory -- and many investors have lost their principal to boot. Indications are mounting, however, that green capitalism will not be able to meet all expectations. In courts around the country, complaints are mounting from wind park investors who haven't received a dividend disbursement in years or whose parks went belly up. Consumer protection activists are complaining that many projects are poorly structured and lack transparency. In the...
  • Company involved in W.Va. chemical spill files for Chapter 11

    01/18/2014 1:34:39 PM PST · by djf · 24 replies
    Freedom Industries, the unfortunately named company whose chemical leak contaminated the water supply for parts of West Virginia, filed for Chapter 11 bankruptcy protection on Friday. The company voted to pursue bankruptcy protection during a voluntary board meeting on Friday, according to WVNS-TV. The Wall Street Journal reports official company papers from the meeting estimate their debt at roughly $10 million, which does not include the impending clean-up costs and lawsuits, which will no doubt be immense.
  • Letting Detroit Off Easy

    01/16/2014 5:14:35 AM PST · by Kaslin · 8 replies
    Townhall.com ^ | January 16, 2014 | Derek Hunter
    As I’ve said before, I love Detroit. Born and raised there to parents who were born and raised there, and went to college at Wayne State. It’s an amazing place. I passionately want to see Detroit revitalized. But part of loving something means being honest about it, and Detroit is a mess. To save the city, to really save it and get it out of the mess it’s currently it means making sacrifices. That's why the recently announced $330 deal to "save Detroit's art" and fund pensions is so disappointing. It has nothing to do with Detroit's long-term viability and...