Bankruptcy Blogs

No One Asked Steve Jobs to Invent the iPhone

10/16/12

Banks that wait to be told what to do won't thrive because the possibility of surprising and delighting customers with innovation is exactly zero when you wait for them to tell you what to build.

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Vertis Holdings Files for Bankruptcy in Delaware

10/16/12

On October 10, 2012, Vertis Holdings, Inc. ("Vertis"), and various related entities, filed chapter 11 petitions for bankruptcy in the United States Bankruptcy Court for the District of Delaware.  This is Vertis' third time in bankruptcy in recent years.  As stated in the company's Declaration in Support of Chapter 11 Petitions (the "Decl."), Vertis filed a prepackaged bankruptcy in Delaware in July of 2008.  Vertis filed its first bankruptcy in order to merge with American Color Graphics and restructure some of the company's debt.   Decl.

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The Daily Docket: A123 Enters Bankruptcy

10/16/12
Associated Press

Electric car battery manufacturer A123 Systems Inc ., the recipient of nearly $250 million in government grants, filed for Chapter 11 bankruptcy protection Tuesday morning.Read the Daily Bankrup

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'I Know There Were a Lot of One-Time Charges to Explain, Vik, But You Might Have Mentioned Your Resignation on the Earnings Call'

10/16/12

Breaking News This Morning ...

Well, That Was Abrupt. The day after a generally positive earnings report (more on that below) CEO Vikram Pandit says he's "concluded that now is the right time for someone else to take the helm at Citigroup." That someone else is long-time company veteran Michael Corbat, who most recently oversaw the Europe, Middle East and Africa business and before that Citi Holdings, the company's garage sale of noncore assets. President and...

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JPMorgan Changes VaR Model Again, But It's Still a Black Box

10/16/12

Switching out three VaR models in less than a year raises questions about not only the models' stability but also how risks across large, systemically important institutions can be compared.

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The Gender Divide in Payday Lending

10/15/12

Nathalie Martin has done great work and has posted comments on Creditslips.org regarding payday lending. I also have been interested in how these payday loans prey on consumers with the least resources and power, and have helped consumers with related issues through my outreach work. At the same time, I have had the privilege to have students like Adria Robinson, who take great interest in these consumer issues.

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Small Banks Need Legal Safe Harbor from New Mortgage Regulations

10/15/12

Without one, community banks will face increased risk of litigation they cannot afford. This could push many of them out of the mortgage market.

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Entireties Assets Exempt To Extent Greater Than Unsecured Bankruptcy Debt

10/15/12

Florida common law is that entireties property is exempt from all creditors of either spouse, but it is not exempt from joint creditors. Tenants by entireties property in bankruptcy proceedings has been the subjection of judicial debate over the years when one spouse files bankruptcy, and where the debtor spouse has both individual debts and joint debts with their non-filing spouse.

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Should Bank Examiners Have to Make a Lifetime Commitment?

10/15/12

Former FDIC chairman Sheila Bair wants to ban the revolving door and, moreover, believes bank examiners should be required to make a lifelong commitment to the profession. Not everyone agrees with this prescription.

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Reverse Mortgages -- The Next Big Problem Area?

10/15/12

In October 2011, I testified to the U.S. Senate Banking Committee's Subcommittee on Financial Institutions and Consumer Protection. In a nation of short memories, the hearing took place amid claims that we did not need new consumer financial regulation. Existing institutions could adequately take care of things. Thus, among other things, the hearing focused on what specific tasks the Consumer Financial Protection Bureau (CFPB) could undertake.

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