Monday is shaping up to be a busy day in bankruptcy court. In the morning, Sbarro LCC will seek confirmation of its bankruptcy-exit plan before Judge Martin Glenn in the Manhattan bankruptcy court.
Instead of focusing on the size and complexity of Lehman Brothers’ financial business, the lesson for officials dealing with the next big bank blowup is to separate the bank’s core operations from its finance subsidiaries, says law professor Stephen Lubben.
Energy Future Holdings Corp.’s bid to revamp the balance sheet of one of its major divisions is taking more fire from investors the company would like to see sign on to the deal. Read the Daily Bankruptcy Review article here.
New court papers show Sidley Austin LLP was the big earner among the professional firms grooming Energy Future Holdings Corp. as it headed toward a restructuring, raking in a $17.5 million retainer for representing the parent company that sits atop the beleaguered Texas power-selling conglomerate.
Investors owning $1.7 billion or more in top-ranking debt say a $7.3 billion piece of Energy Future Holdings Corp.’s financing plan is a flawed and “incoherent” attempt to evade bankruptcy rules. Read the Daily Bankruptcy Review article here.
The Los Angeles bankruptcy bar is shuffling once again, this time through the combination of bankruptcy boutique Peitzman Weg LLP and litigation firm Robins, Kaplan, Miller & Ciresi LLP.
Federal bankruptcy monitors have named seven creditors to the influential panel that will speak for unsecured creditors in the $42 billion bankruptcy of Energy Future Holdings Corp. Read the Daily Bankruptcy Review article here.
