Bankruptcy Blogs

The Best Defense to Litigation Is a Good Bank Culture

12/16/14

The latest series of bank settlements over alleged attempts to manipulate the foreign exchange market suggests that lenders need to set about pruning the ranks of problem employees and retraining those who remain.

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Morning Scan: British Banks, Except Co-Op, Pass Stress Test; Ocwen's Troubles

12/16/14

Receiving Wide Coverage ...

British Stress-Testing: One bank, Co-operative Bank, failed the Bank of England's stress test, while Royal Bank of Scotland and Lloyds Banking Group passed...but barely . The tests were "demanding," but the results show British banks are "significantly more resilient" than last year, Bank of England Governor Mark Carney said. RBS and Lloyds' results were made more palatable by the fact that both have already installed programs to boost their capital levels (although...

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Investors Have a Deal for Spurned New York City Opera Ticketholders

12/15/14
“Anna Nicole,” as performed by the New York City Opera’s last performance at Brooklyn Academy of Music on Sept.
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My Life on the CFPB 'Dark Side'

12/15/14

Cliff Rosenthal left his credit union colleagues behind to become assistant director of the CFPB in 2012. He found an energetic, dedicated agency under attack from political opponents and hampered by institutional hubris.

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The Daily Docket: Judge Nixes Revel Sale Deal

12/15/14
Mel Evans/Associated Press

A bankruptcy judge on Friday scrapped a $110 million deal to sell Atlantic City, N.J.’s closed Revel Casino Hotel to a Canadian private-equity firm.

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Morning Scan: Leveraged Lending on PetSmart Deal; Deal on Derivatives

12/15/14

Receiving Wide Coverage ...

PetSmart's Debt Financing: That whole thing about regulators cracking down on big banks for providing too much debt-financing in takeover deals? Eh, who cares? Citigroup is one of five banks that's underwriting billions of dollars in in debt to help finance the $8.7 billion private-equity acquisition of retailer PetSmart led by BC Partners. The debt in the PetSmart deal, in the most recent negotiations, equates to more than six times cash flow....

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Involuntary Bankruptcy Actions Discussed

12/14/14

Can a financially distressed be “forced” into bankruptcy by its creditors?  In other words, is it possible for creditors to subject a distressed entity into an involuntary bankruptcy proceeding?

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How I Ended Up in a Congressional 'Choke Point' Report

12/14/14

The blatant mischaracterization of Federal Deposit Insurance Corp. communications in a House Oversight Committee report undercuts the aim of the investigation into regulatory scrutiny of bank-payday lending relationships.

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French Restaurant in Harvard Square Files for Bankruptcy

12/12/14

Sandrine’s has filed for bankruptcy with a buyer in mind to revive the French restaurant in Cambridge, Mass.’s Harvard Square.

In court papers, the restaurant, which has lost customers and expects to fall $200,000 short this year, declared that it has “slowly lost its reputation for innovation and leadership in the French cuisine.”

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Energy Future Holdings – Bidding Procedures Fight Highlights Conflicts Among Affiliated Debtors

12/12/14

Energy Future Holdings (EFH), f/k/a TXU Corp., an energy company centered in Texas, was taken private in 2007 in the largest leveraged buyout transaction that has ever taken place.  The deal was largely predicated on an anticipated rise in natural gas prices; when prices instead plummeted the company, which had borrowed nearly $40 billion, was left with a massively unbalanced capital structure.  The chapter 11 cases of EFH and its subsidiaries

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