News Topic: WSJcomBankruptcyBeat

Shareholders for Italian airline Alitalia approved a proposal to raise up to EUR300 million ($406.9 million) to try to save it from bankruptcy, The Wall Street Journal reports . According to WSJ , some of Suntech’s U.S. bondholders are trying to force the ... Read full article

Puerto Rico’s struggling Spanish-language newspaper El Vocero has a survival strategy to avoid becoming yet another victim of the consolidation wave sweeping the media industry. Attorneys who put the daily newspaper into bankruptcy in September want to ... Read full article

Alitalia’s shareholders meet Monday to vote on raising €500 million ($677 million) in a plan that could bring the Italian government back as an owner of the airline, five years after privatization of the carrier cost taxpayers billions of euros, The Wall ... Read full article

The government’s bankruptcy watchdog is balking at Furniture Brands International’s bid to hand out more than $5 million in bonuses to a group of key employees, including several company insiders, the Daily Bankruptcy Review reports. ... Read full article

Patriot Coal reached a settlement with Peabody Energy Corp. that provides funding for a union retiree benefits fund and will allow the coal mining company to exit bankruptcy by the end of the year. Read the story in the Daily Bankruptcy Review . ... Read full article

Bondholders of Downey Financial Corp. won big Tuesday when a bankruptcy judge said the former home lender, not the Federal Deposit Insurance Corp., has top claim on a $374 million tax refund. Read the Daily Bankruptcy Review story via The Wall Street ... Read full article

Blaming the government shutdown, lawyers for the Centers for Medicare and Medicaid Services persuaded a bankruptcy judge on Monday to delay a court hearing that could have allowed a California medical supplier to get out of Chapter 11 protection. ... Read full article

A bankruptcy trustee for failed solar panel manufacturer Energy Conversion Devices is suing three Chinese companies for $950 million over allegations of price fixing and the dumping of cheap solar panels that drove the U.S. company out of business. Read ... Read full article

Ben Margot/Associated Press Struggling Stockton, Calif., struck a deal with the bond insurer behind the city’s roughly $125 million pension bond debt—its largest borrowed debt—that will enable the city to stretc ... Read full article

Chris Keane/Reuters Bank of America Corp. has been ordered to pay $10,000 per month for e ... Read full article

This week on The Broke and the Beautiful, a fight involving 38 Studios is back in play. Also, the owner of the Houston Astros is fighting Comcast ’s bid to control CSN Houston. ... Read full article

A Connecticut bankruptcy judge has ordered Sean Dunne, once one of Ireland’s biggest property developers, to open his books to a U.S. bankruptcy trustee saying he can’t hide behind Irish family law to avoid answering questions about his finances. Judge ... Read full article

Getty Images Citigroup Inc. ... Read full article

Furniture Brands International Inc.’s board of directors has switched course, replacing Oaktree Capital Management with New York’s KPS Capital Partners LP as the lead bidder at an upcoming bankruptcy auction. Read the Daily Bankruptcy Review article here ... Read full article

The holding company for trendy Los Angeles nightclub Exchange LA has filed for Chapter 11 bankruptcy as it fights the city of Los Angeles and its embattled landlord to keep the party pumping at its historic venue. ... Read full article

Getty Images Paul Singer ‘s hedge fund Elliott Management has agreed to pay GBP650 million ($1.05 billion) to the corporate parent of Lehman Brothers ... Read full article

By Joseph Checkler and Stephanie Gleason U.S. bankruptcy courts remain open for business, but the government shutdown leaves them far from full strength. Only one third of the employees from the U.S. Trustee Program, the Justice Department unit that ... Read full article

Agence France-Presse/Getty Images A trust representing “old” General Motors’ unsecured creditors agreed to stop trying to reclaim funds that GM had paid to a group of hedge funds, among them ... Read full article