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Chapter 11 Bankruptcy

All articles tagged with #chapter 11 bankruptcy

business1 year ago•1 min saved

Joann Fabrics Files for Chapter 11 Bankruptcy to Reduce Debt

Fabric and crafts retailer Joann has filed for Chapter 11 bankruptcy protection, with plans to emerge as a privately-owned company by the end of next month. The Ohio-based company's more than 800 stores and website will continue to operate normally, and it has secured new financing and expects to reduce its debt by about $505 million. Joann listed over $2.44 billion in total debts and $2.26 billion in total assets in its Chapter 11 petition, filed in Delaware.

via WBAY|

#business #chapter-11-bankruptcy #finance

business1 year ago•1 min saved

"Joann Fabrics Declares Chapter 11 Bankruptcy Amid Consumer Spending Pullback"

Joann Fabrics and Crafts has filed for Chapter 11 bankruptcy, citing more than $1 billion in debt, shrinking revenues, and a widening net loss. The company's stores and website will remain open, and it reassured customers, vendors, and creditors that there will be no disruption in services. The news led to a negative reaction on Wall Street, with shares trading down as much as 20%. Joann went public in 2021 but has faced challenges, including the absence of a full-time CEO since last May.

via NBC News|

#business #chapter-11-bankruptcy #financial-struggles

business2 years ago•4 min saved

E-commerce Giant Thrasio Files for Chapter 11 Bankruptcy

Thrasio, a major player in e-commerce aggregation, has filed for Chapter 11 bankruptcy protection to address its substantial debt. The company has secured $90 million in emergency financing and plans to erase $495 million of its existing debt. Thrasio's struggles reflect the challenges faced by late-stage tech companies amid a downturn in fundraising. The company's ambitious roll-up play, which aimed to consolidate smaller e-commerce businesses, ultimately faltered, leading to layoffs and a change in leadership. While Thrasio's collapse is significant, other companies in the e-commerce aggregation space have also raised substantial funding, indicating that similar challenges may lie ahead for the industry.

via TechCrunch|

#amazon-marketplace #business #chapter-11-bankruptcy

business-cryptocurrency2 years ago•1 min saved

"Terraform Labs Files for Chapter 11 Bankruptcy Protection in the U.S."

Terraform Labs, the company behind digital assets TerraUSD and Luna, has filed for Chapter 11 bankruptcy in Delaware following the collapse of its cryptocurrencies in 2022. The company plans to continue its operations and support litigation pending in Singapore and the U.S. involving the Securities and Exchange Commission. The bankruptcy filing comes after the SEC postponed the civil trial against Terraform Labs and co-founder Do Kwon over an alleged $40 billion cryptocurrency fraud. Kwon, who owns a 92% stake in the company, is currently in custody in Montenegro and could be extradited to the U.S. or South Korea.

via TechCrunch|

#business-cryptocurrency #chapter-11-bankruptcy #cryptocurrency

business2 years ago•2 min saved

"Radio Group Audacy Files for Bankruptcy, Raising Questions About Future"

Audacy, owner of WBBM Newsradio and other Chicago radio stations, has filed for Chapter 11 bankruptcy in an effort to reduce its $1.9 billion debt to $350 million. The company attributes its financial struggles to pandemic-induced conditions, such as reduced listenership and ad spending. The bankruptcy filing aims to restructure debt and provide equity to debt-holders in exchange for long-term loans. Despite the filing, Audacy plans to continue its operations and digital transformation without disruptions to employee wages or benefits.

via Chicago Sun-Times|

#audacy #business #chapter-11-bankruptcy

business-media2 years ago•3 min saved

"Radio Giant Audacy Files for Chapter 11 Bankruptcy Amid Advertising Decline"

Audacy, the second largest radio chain in the U.S., including major Chicago stations like WBBM-AM 780 and WXRT-FM 93.1, filed for Chapter 11 bankruptcy to reduce nearly $2 billion in debt, largely stemming from its 2017 merger with CBS Radio. The company aims to convert long-term loans to equity stakes, reducing its debt to $350 million pending court approval. Despite revenue declines and pandemic challenges, Audacy reassures employees that it will be "business as usual" for its radio stations during the bankruptcy process, with no disruption to wages and benefits.

via Chicago Tribune|

#audacy #business-media #chapter-11-bankruptcy

business-finance2 years ago•1 min saved

China Builder Xinyuan's US Unit Files for Chapter 11 Bankruptcy

Xinyuan Real Estate's subsidiary, Hudson 888 Owner LLC, has filed for Chapter 11 bankruptcy protection in the Southern district of New York court, with estimated liabilities and assets ranging between $100 million to $500 million. This move reflects the challenges faced by the Chinese developer in the US real estate market and signals a significant financial restructuring.

via Bloomberg|

#business-finance #chapter-11-bankruptcy #chinese-developer

business2 years ago•1 min saved

Multiple Mall Owners File for Chapter 11 Bankruptcy Protection Amidst Pandemic

The parent company of Woodland Mall, Pennsylvania Real Estate Investment Trust, has filed for Chapter 11 bankruptcy as part of its plan to reorganize and reduce its debt by $880 million. Woodland Mall itself is not a debtor in the case and will continue to operate normally, with its loan expected to be extended. This is the second time PREIT has filed for Chapter 11 bankruptcy, with the previous filing occurring in November 2020.

via WOODTV.com|

#business #chapter-11-bankruptcy #debt-reduction

business2 years ago•1 min saved

Rite Aid Continues Closure Trend, Adding More Stores to Shutter List

Rite Aid has announced the closure of five stores in Northeast Ohio as part of its Chapter 11 bankruptcy filing, bringing the total number of store closures in Ohio to 10. The pharmacy chain cited falling sales and opioid-related lawsuits as reasons for the closures. The affected stores include locations in Fairlawn, Broadview Heights, Willoughby, Canton, and East Liverpool.

via WJW FOX 8 News Cleveland|

#business #chapter-11-bankruptcy #falling-sales

society2 years ago•2 min saved

"Baltimore Archdiocese Declares Bankruptcy Amid Child Sex Abuse Lawsuits"

The Catholic Archdiocese of Baltimore has filed for Chapter 11 bankruptcy ahead of anticipated lawsuits over child sexual abuse. The filing comes as a new law is set to take effect in Maryland, lifting the statute of limitations to allow new civil lawsuits over older acts of abuse. The Archdiocese faces a significant number of lawsuits due to historic cases of child sexual abuse previously barred by Maryland law. Lawyers representing survivors criticize the bankruptcy filing as an attempt to evade accountability. The financial reorganization is expected to take two to three years, during which victim-survivors can file claims for compensation.

via CNN|

#accountability #baltimore-archdiocese #chapter-11-bankruptcy

finance2 years ago•3 min saved

SmileDirectClub's Bankruptcy Filing Marks Major Setback for Company

SmileDirectClub, a tooth alignment company, has filed for Chapter 11 bankruptcy protection due to years of losses, weak sales, and nearly $850 million in long-term debt. The company plans to continue normal operations with an investment of at least $20 million from its founders. An additional $60 million in capital is available upon certain conditions. SmileDirectClub aims for a brief restructuring process and is being represented by legal counsel Kirkland & Ellis, financial adviser FTI Consulting, and investment banker Centerview Partners. Since going public in 2019, the company has faced challenges, including safety concerns and supply chain inflation, and has yet to turn a profit.

via Yahoo Finance|

#chapter-11-bankruptcy #debt #finance

business2 years ago•3 min saved

Rite Aid and Mallinckrodt: Two Major Companies Facing Bankruptcy

Rite Aid, one of the largest pharmacy chains in the US, is reportedly preparing to file for Chapter 11 bankruptcy to restructure its $3.3 billion debt and address lawsuits related to the unlawful filling of opioid prescriptions. The filing would pause the claims against the retailer and potentially consolidate them in one place. Rite Aid has been facing financial pressures, reporting a net loss of nearly $307 million in the last quarter. The company's bankruptcy risk potential has been deemed significantly higher than average, and it has made targeted reductions to its expenses in an effort to achieve growth in the coming years.

via Retail Dive|

#business #chapter-11-bankruptcy #debt-restructuring

business2 years ago•0 min saved

Mallinckrodt to Seek Second Bankruptcy, Slashing $1.9 Billion in Debt

Pharmaceutical company Mallinckrodt PLC has announced plans to file for Chapter 11 bankruptcy for the second time in less than three years as part of a restructuring agreement with its debtholders. The company aims to reduce its debt by approximately $1.9 billion and will make a final payment of $250 million to the Opioid Master Disbursement Trust II to support efforts related to the opioid crisis. Mallinckrodt expects to complete the prepackaged bankruptcy process by the fourth quarter of 2023, while continuing to provide therapies, pay staff, and vendors.

via MarketWatch|

#business #chapter-11-bankruptcy #debt-reduction

business2 years ago•1 min saved

Proterra, Leading EV Firm, Declares Chapter 11 Bankruptcy

Electric-vehicle parts supplier Proterra has filed for Chapter 11 bankruptcy protection, citing supply chain constraints, slowing demand, and a funding drought. The company's shares nearly halved in value, and it listed its assets and liabilities in the range of $500 million to $1 billion. Proterra, which makes electric buses and battery packs, plans to continue operating and will use existing capital to fund operations.

via Reuters|

#business #chapter-11-bankruptcy #electric-vehicles

business2 years ago•1 min saved

Parent Company of Instant Pot and Pyrex Files for Bankruptcy

Instant Brands, the parent company of popular kitchenware brands like Pyrex and Instant Pot, has filed for Chapter 11 bankruptcy protection. The company has over $500 million in both assets and liabilities. The move will give the company "time and flexibility" for ongoing discussions with financial stakeholders to move forward in a way that "strengthens the company’s financial position." The company faces challenges, including "tightening of credit terms and higher interest rates," after weathering the COVID-19 pandemic.

via GMA|

#business #chapter-11-bankruptcy #financial-restructuring