Bankruptcy & Restructuring >>>

    AmTrust Defeats FDIC; Creditors May Receive $300 Million

    AmTrust Financial Corp., a holding company for a failed bank, won a victory in theU.S. Court of Appeals over the Federal Deposit Insurance Corp. The ruling means that creditors will recover at least $100 million and might take home $300 million under the liquidating Chapter 11 plan approved in November by a confirmation order from the U.S. [...]


    Ross: Price for Lehman Shipping Stake Is Fair

    Billionaire Wilbur Ross said his company is paying a fair price for shares in a shipping company held by defunct brokerage Lehman Brothers Inc., after hedge fund Elliott Management Corp. said the price was too low. Elliott, a creditor of the brokerage, said the 34 percent stake in gas-tanker operator Navigator Holdings Ltd. is being offered to WL Ross & Co. for [...]


    Kodak Professionals Agree to Cut Fee Request

    Professionals working for bankrupt Eastman Kodak Co. and its official creditors’ committee agreed to cut by 1.7 percent an initial request for $38.3 million to cover fees and expenses through the end of April. Richard Stern, the court-appointed fee examiner, negotiated with Kodak’s lawyers and advisers and won an agreement to reduce by $651,000 the amount sought for work since [...]


    Journal Register Committee Has Trade-Supplier Majority

    Newspaper publisher Journal Register Co. has an official unsecured creditors’ committee with a majority representing trade suppliers. The company initiated its second bankruptcy reorganization on Sept. 5. The U.S. Trustee appointed the official creditors’ representative yesterday. The five-member committee includes the Pension Benefit Guaranty Corp. and the Communications Workers of America union. International Paper Co., with a [...]


    Conoco: Letters of Credit Immune From MF Global Losses

    ConocoPhillips Co. rebutted arguments by the U.S. Commodity Futures Trading Commission that letters of credit don’t give a commodity customer protection from losing collateral if the broker goes bankrupt after misappropriating customer deposits. The issue is arising in the liquidation of commodities broker MF Global Inc. The trustee for MF Global took the position that regulations promulgated [...]


    AMR Risks Bankruptcy Delay on Pilot Rift

    American Airlines’ widening rift with its pilots’ union threatens to delay the bankruptcy restructuring of parent AMR Corp. and improve the chances for a takeover by US Airways Group Inc. While AMR’s unsecured-creditors committee wants a contract approved by pilots before leaving Chapter 11, Fort Worth, Texas-based American is imposing cost cuts spurned by the union. No new talks are [...]


    Eastman Kodak 7.25% of 2013


    Journal Register Gets Approval to Borrow $22.5 Million

    Journal Register Co., the newspaper publisher that filed for Chapter 11 reorganization a second time on Sept. 5, received interim authority yesterday to borrow $22.5 million from existing revolving-credit lender Wells Fargo & Co. At a final financing hearing on Sept. 27, the loan is scheduled to increase to $25 million. It will be used to pay off [...]


    Alcatel-Lucent Bonds Fall as Recovery Falters

    Investors are dumping Alcatel-Lucent SA ’s bonds and pricing in a three-step credit downgrade, losing confidence Chief Executive Officer Ben Verwaayen can return France’s biggest phone-equipment supplier to profit. Its 500 million euros ($643 million) of 8.5 percent notes due in January 2016 have fallen 6.2 percent since the company said July 17 it would miss a profitability target. Credit-default swaps on [...]


    Blackstone’s Coleman: Libor Remains Key Pricing Tool for Debtor in Possession Finance

    Libor remains a key pricing tool for loans to bankrupt companies despite an investigation of at least 12 banks for manipulating Libor, says Timothy Coleman, senior managing director and head of restructuring and reorganization at The Blackstone Group. Coleman said in an interview with Aleksandrs Rozens that he expects more Chapter 9 bankruptcy filings and restructurings within energy, [...]


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