Headlines

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Format: 07-11-2014
July 10, 2014
Puerto Rico’s non-voting representative in the U.S. Congress is exploring changes to federal law that would allow the commonwealth’s municipal agencies to file for bankruptcy to restructure their debts, Bloomberg News reported yesterday. Pedro Pierluisi, whose formal title is resident commissioner...
July 10, 2014
A federal judge yesterday rejected PricewaterhouseCoopers' request to dismiss a $1 billion lawsuit accusing the auditor of providing bad accounting advice that contributed to the October 2011 collapse of MF Global Holdings Ltd., a brokerage run by former New Jersey Governor Jon Corzine, Reuters...
July 10, 2014
Michael Plummer, an art expert hired by the institute and the city to evaluate the collection and ways to raise cash from it, released a report yesterday saying that the Detroit Institute of Arts collection may be worth as much as $4.6 billion, but a sale of art works would raise less than $2...
July 10, 2014
The debtors in the Garlock Sealing Technologies bankruptcy proceeding have filed a heavily redacted opposition to reopening the sealed record of 2013’s estimation hearing that led to only $125 million being placed in a trust for asbestos claimants, the Washington Examiner reported today. The...
July 10, 2014
U.S. regulators are poised to complete long-awaited rules intended to prevent a repeat of the investor stampede out of money-market mutual funds that threatened to freeze corporate lending during the 2008 financial crisis, the Wall Street Journal reported today. The Securities and Exchange...
July 10, 2014
Harbinger Capital Partners has sued Dish Network Corp. and its Chairman Charles Ergen, seeking at least $1.5 billion for allegedly trying to strip the hedge fund of its control of bankrupt wireless company LightSquared, Reuters reported yesterday. The lawsuit filed in a Colorado federal court on...
July 10, 2014
Energy Future Holdings Corp.'s $42 billion bankruptcy restructuring took an interesting turn this week when the company pushed a controversial $1.9 billion loan onto the back burner for discussions of "potentially beneficial" developments, Dow Jones Daily Bankruptcy Review reported today. Instead...
July 10, 2014
Drybulk shipper Genco Shipping emerged from chapter 11 protection, the Associated Press reported yesterday. The company says it reduced its debt by $1.2 billion while eliminating $192.8 million in amortization payments and $40 million in annual interest payments. Genco also says that it got $100...
July 10, 2014
Hedge fund Standard General gained sway over American Apparel Inc. with an 11th-hour lifeline, part of a deal that will overhaul the company's board and install ousted founder Dov Charney as a strategic consultant — at least for now, the Wall Street Journal reported today. The deal, completed...
July 9, 2014
The City of Detroit reached a tentative contract with its largest police union yesterday, potentially resolving one of the city’s last remaining labor disputes as it nears a potential exit from chapter 9 bankruptcy, the Detroit Free Press reported today. The tentative deal — reached in confidential...
July 9, 2014
Flint, Mich., the birthplace of General Motors that once had 200,000 residents, has, much like Detroit, also endured a spectacular drop in population and factory jobs and a corresponding rise in property abandonment, the Associated Press reported yesterday. If a judge rules against Flint's effort...
July 9, 2014
The judge in Stockton, Calif.’s bankruptcy ruled yesterday that the city has collateral worth $4 million with which it could pay holdout creditor Franklin Templeton, dismissing the city's contention its collateral was worthless, Reuters reported yesterday. At the same time, Bankruptcy Judge...