The Daily Docket: NewPage May Enter Bankruptcy

NewPage Corp., a struggling Midwestern paper maker controlled by Cerberus Capital Management LP, warned in a regulatory filing that it may have to file for bankruptcy protection if it’s unable refinance its crushing debt load. Read the Daily Bankruptcy Review article here.

Evergreen Solar Inc. won bankruptcy-court approval of various “first-day” requests that will ensure its continued operations as it works to sell its assets during its newly launched Chapter 11 case. Click here for the DBR Small Cap article.

(The Daily Bankruptcy Review and DBR Small Cap are daily newsletters with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial to DBR, click here. For DBR SC, click here.)

Bernard Madoff trustee Irving Picard is suing seven companies—including Singapore’s Lion Global Investors Ltd. and British Virgin Islands-based Quilvest Finance Ltd.—for more than $174 million, Reuters reports.

According to The Wall Street Journal, investors in the junk-bond market have been leaving the sector even though yields are high right now.

A Central Falls, R.I., school principal and five teachers laid off last winter can keep appealing the layoffs during the city’s bankruptcy, the Boston Globe reports.

Former Lehman Brothers Holdings. Inc. banking chief Bradley H. Jack will be allowed to enter a program that could let him avoid prosecution for charged that he forged a prescription for Ritalin and Oxycontin, DealBook reports.

Credit Slips’ Bob Lawless updates us on the declining bankruptcy-filing rates.