Bankruptcies Suddenly Soar Across Corporate America, Worst First Quarter Since 2009

[marmar]

Bankruptcies Suddenly Soar Across Corporate America, Worst First Quarter Since 2009
by Wolf Richter • April 16, 2015


“Come down to Houston,” William Snyder, leader of the Deloitte Corporate Restructuring Group, told Reuters. “You’ll see there is just a stream of consultants and bankruptcy attorneys running around this town.”

But it’s not just in Houston or in the oil patch. It’s in retail, healthcare, mining, finance…. Bankruptcies are suddenly booming, after years of drought.

In the first quarter, 26 publicly traded corporations filed for bankruptcy, up from 11 at the same time last year, Reuters reported. Six of these companies listed assets of over $1 billion, the most since Financial-Crisis year 2009. In total, they listed $34 billion in assets, the second highest for a first quarter since before the financial crisis, behind only the record $102 billion in 2009.

The largest bankruptcy was the casino operating company of Caesars Entertainment that has been unprofitable for five years. It’s among the zombies of Corporate America, kept moving with new money from investors that had been driven to near insanity by the Fed’s six-plus years of interest rate repression. ...............(more)

http://wolfstreet.com/2015/04/16/bankruptcies-soar-across-corporate-america-not-just-oil/

[Romeo.lima333]

1. kr

[global1]

2. Is This A Ploy To Get An Opportunity To Re-Invent Themselves After They Come Out Of Bankruptcy....

and down size, hire new employees at a lower wage and kill any unions in the process?