Chapter 9

Ambulance company Rural/Metro Corp., which provides ambulance service in rural communities, is getting ready for a possible bankruptcy, The Wall Street Journal reports.

Cengage Learning Inc.’s unsecured creditors are accusing the company’s first-lien lenders, including current equity owner Apax Partners L.P., of orchestrating a “value-grabbing effort” to deleverage the company and capture all its value at the expense of other creditors. Read the Daily Bankruptcy Review article here.

MF Global Holdings Ltd. has struck a deal with J.P. Morgan Chase & Co. that calls for the bank to pay MF Global a portion of what the bank recovers in the case, a settlement that MF Global’s administrator says avoids “years of costly and complex litigation.” Read the Daily Bankruptcy Review article here.

Mexican phone company Maxcom Telecomunicaciones S.A.B. filed for Chapter 11 bankruptcy protection in the U.S. late Tuesday after reaching a deal with its creditors that would hand control of the company to a group of investors led by private equity firm Ventura Capital Privado S.A. Read the Daily Bankruptcy Review article here.

Poised to break pension promises to more than 23,500 retired city workers, cops and firefighters, Detroit’s bankruptcy attorneys said that those retirees deserve an official committee to speak for them as the 686,000-resident city struggles to unload labor costs in order to survive. Read the Daily Bankruptcy Review article here.