Content about Insolvency law

February 28, 2012

The U.S. Bankruptcy Court in White Plains, N.Y., approved the Great Atlantic & Pacific Tea Co.’s plan to exit bankruptcy plan.

New York City -- The U.S. Bankruptcy Court in White Plains, N.Y., approved the Great Atlantic & Pacific Tea Co.’s plan to exit bankruptcy plan. The supermarket company filed Chapter 11 in December 2010.

The reorganization plan includes $490 million in debt and equity financing from Ron Burkle’s Yucaipa Cos.

December 20, 2011

Borders Group Inc. won court approval of the final details of its plans to dissolve, according to Bloomberg.

New York City -- Borders Group Inc. won court approval of the final details of its plans to dissolve, according to Bloomberg.

The bankruptcy judge finalized terms of creditor repayments Tuesday after five remaining objections were resolved, the report said. Unsecured creditors with $812 million to $850 million in claims will recover from 4% to 10%, probably “at the higher end of the range,” according to court papers.
 

July 29, 2011

According to court papers filed with the U.S. Bankruptcy Court in Manhattan, Borders Group is planning to auction off its intellectual property, including the Borders brand name and the Borders.com website, in a move that will enable the brand to live on after liquidation in a limited fashion.

New York City -- According to court papers filed with the U.S. Bankruptcy Court in Manhattan, Borders Group is planning to auction off its intellectual property, including the Borders brand name and the Borders.com website, in a move that will enable the brand to live on after liquidation in a limited fashion.

The Sept. 14 auction, which will sell off the logo, trademarks, website, customer lists and other intellectual property, is expected to draw millions of dollars worth of offers.

July 20, 2011

Borders Group said objections from creditors are irrelevant because the company’s liquidation means it will not carry on any contracts with business partners, Bloomberg reported.

New York City -- Borders Group said objections from creditors are irrelevant because the company’s liquidation means it will not carry on any contracts with business partners, Bloomberg reported.

Borders is due to seek court approval Thursday to liquidate its 399 remaining stores. The approximate 99 objections from creditors should be overruled, the company said in court papers, as it does not plan to keep or transfer any contracts or leases, the report said.
 

July 18, 2011

Borders Group inched closer to liquidation after a 5 p.m. Sunday deadline passed and no bidders emerged to keep the bankrupt chain in business.

New York -- Borders Group inched closer to liquidation after a 5 p.m. Sunday deadline passed and no bidders emerged to keep the bankrupt chain in business. 

Late last week, investor Najafi Cos. decided to drop out of an effort to keep Borders' remaining 400 stores open.

July 14, 2011

Borders Group moved closer to liquidation after a judge on Thursday approved its motion to auction itself off with an offer from liquidators as its opening bid.

New York — Borders Group moved closer to liquidation after a judge on Thursday approved its motion to auction itself off with an offer from liquidators as its opening bid. The retailer said it will accept bids until 5 p.m. Sunday and will give notice by Monday if no other bidder emerges.

June 17, 2011

Borders Group has reached agreements with its landlords to extend the leases on 11 stores it had previously asked a bankruptcy court to shutter, the Associated Press reported.

New York City -- Borders Group has reached agreements with its landlords to extend the leases on 11 stores it had previously asked a bankruptcy court to shutter, the Associated Press reported.

Last week, the chain asked permission to start liquidating 51 stores because of a condition for its financing. But it said at the time it was actively working to keep them open.

April 25, 2011

Borders Group won approval of an amended executive bonus plan after a judge sought changes to resolve objections from an arm of the U.S. government that oversees bankruptcies, Bloomberg reported.

New York City -- Borders Group won approval of an amended executive bonus plan after a judge sought changes to resolve objections from an arm of the U.S. government that oversees bankruptcies, Bloomberg reported.

Judge Martin Glenn of U.S. Bankruptcy Court in Manhattan said the amended bonus packages, which tie the $6.6 million in payments closer to the financial performance of Borders, were needed so Borders could "maintain its experienced work force."

April 21, 2011

Borders is seeking at least $50 million in additional financing as sales trail expectations and publishers demand cash in advance, according to two people who have seen the chain’s plans to reorganize, Bloomberg reported.

New York City -- Borders is seeking at least $50 million in additional financing as sales trail expectations and publishers demand cash in advance, according to two people who have seen the chain’s plans to reorganize, Bloomberg reported. The bankrupt retailer already has a $505 million debtor-in-possession loan from lenders led by GE Capital.

Borders may risk liquidation without further investment, easier terms from vendors or a buyer, said the people, who declined to be identified because the process isn’t public, the report said.

March 29, 2011

A Wall Street Journal report on Monday said that, according to court filings, Blockbuster will start closing 186 more stores by the end of the month, bringing the number of its U.S. locations closed or slated for closure to 1,145, or more than a third of its total, since the video-rental chain filed for bankruptcy protection in September.

Dallas -- A Wall Street Journal report on Monday said that, according to court filings, Blockbuster will start closing 186 more stores by the end of the month, bringing the number of its U.S. locations closed or slated for closure to 1,145, or more than a third of its total, since the video-rental chain filed for bankruptcy protection in September.

In filings Friday with the U.S. Bankruptcy Court in Manhattan, Blockbuster said it will reject the leases on 186 of its stores by March 31.

March 11, 2011

A Manhattan bankruptcy judge on Thursday has cleared the path for Blockbuster to sell itself to a group of hedge funds, preventing the movie rental chain from having to liquidate its assets.

New York City -- A Manhattan bankruptcy judge on Thursday has cleared the path for Blockbuster to sell itself to a group of hedge funds, preventing the movie rental chain from having to liquidate its assets.

Judge Burton R. Lifland has approved procedures for the auction of Blockbuster, with a $290 million initial offer from a group of senior bondholders led by hedge fund Monarch Alternative Capital.
 

March 9, 2011

The sale of the financially-beleaguered furniture retailer Robb & Stucky to liquidation firm Hudson Capital Partners of Massachusetts was approved Tuesday at a bankruptcy hearing in Tampa, the South Florida Sun-Sentinel reported.

New York — The sale of the financially-beleaguered furniture retailer Robb & Stucky to liquidation firm Hudson Capital Partners of Massachusetts was approved Tuesday at a bankruptcy hearing in Tampa, the South Florida Sun-Sentinel reported.

Hudson Capital, in a joint venture with Hyperams LLC, offered the highest bid for the 96-year-old Fort Myers-based company, which operates 20 stores, mostly in Florida.

March 3, 2011

Some landlords, vendors and other unsecured creditors of Blockbuster are objecting to Blockbuster's plan to sell itself because they fear they won't be paid what they are owed, according to the Associated Press.

New York City -- Some landlords, vendors and other unsecured creditors of Blockbuster are objecting to Blockbuster's plan to sell itself because they fear they won't be paid what they are owed, according to the Associated Press.

A hearing to approve the stalking horse bid and auction was originally scheduled for Wednesday, but was postponed late Tuesday until March 10 while the judge considers the objections.

February 22, 2011

Blockbuster said on Monday that it reached a $290 million deal to be bought out of bankruptcy by a group of investors.

New York City -- Blockbuster said on Monday that it reached a $290 million deal to be bought out of bankruptcy by a group of investors.

The offer by a group of hedge firms comprised of Monarch Alternative Capital, Owl Creek Asset Management, Stonehill Capital Management and Värde Partners -- is a so-called “stalking horse” bid. It sets a base price that Blockbuster hopes will attract other potential suitors who will offer more.

February 16, 2011

Borders Group filed for Chapter 11 bankruptcy on Wednesday.

New York City -- Borders Group filed for Chapter 11 bankruptcy on Wednesday. The troubled bookseller plans to close 30%, or about 200, of its most underperforming stores during the next few weeks. The long-expected filing will allow Borders to access new capital and reorganize its operations, Borders Group president Mike Edwards said in a statement.

February 10, 2011

Blockbuster plans to put itself up for sale after a disagreement with its creditors, according to a Wall Street Journal report.

New York City -- Blockbuster plans to put itself up for sale after a disagreement with its creditors, according to a Wall Street Journal report.

The report, which cited unnamed sources, said the chain could not agree with creditors on a plan to get cash to help it exit bankruptcy protection. According to the Journal, a bidder could offer more than $300 million for the chain plus assuming debt and leases.
 

January 21, 2011

After filing for Chapter 11 reorganization bankruptcy in September, then winning an extension until Feb. 4 to file its restructuring plan to emerge from bankruptcy, Blockbuster now has until March 21 to file the plan and until May 20 to round up enough votes among its creditors for approval.

New York City -- After filing for Chapter 11 reorganization bankruptcy in September, then winning an extension until Feb. 4 to file its restructuring plan to emerge from bankruptcy, Blockbuster now has until March 21 to file the plan and until May 20 to round up enough votes among its creditors for approval.  

Judge Burton R. Lifland of U.S. Bankruptcy Court in Manhattan granted the extension Wednesday.

January 18, 2011

Blockbuster has received an extension to Feb. 4 to file its restructuring plan in order to emerge from bankruptcy protection, according to a regulatory filing with the Securities and Exchange Commission,

Dallas -- Blockbuster has received an extension to Feb. 4 to file its restructuring plan in order to emerge from bankruptcy protection, according to a regulatory filing with the Securities and Exchange Commission.

The retailer filed for Chapter 11 protection in September.

November 16, 2010

Loehmann’s on Monday filed for bankruptcy.

New York City -- Loehmann’s on Monday filed for bankruptcy.  The off-price retailer said it had negotiated a restructuring plan with owner Istithmar Retail Investments and noteholder Whippoorwill Associates before the filing that would cut debt by $115 million. Istithmar and Whippoorwill agreed to invest $25 million in the company, according to court papers.

November 10, 2010

Exiting what was labeled the biggest real estate bankruptcy in U.S. history, General Growth Properties has emerged from Chapter 11 protection as two separate companies.

Chicago -- Exiting what was labeled the biggest real estate bankruptcy in U.S. history, General Growth Properties has emerged from Chapter 11 protection as two separate companies.

The country’s second-largest U.S. mall owner said Wednesday that it has spun off Howard Hughes Corp., an owner of master-planned communities and other properties.

The shares of the newly separate General Growth, as well as the shares of Howard Hughes, will begin trading Thursday on the New York Stock Exchange.

November 9, 2010

Exiting what was labeled the biggest real estate bankruptcy in U.S. history, General Growth Properties...

October 26, 2010

U.S. Bankruptcy Judge Burton Lifland in New York approved a loan on Wednesday that will...

October 12, 2010

A report released Wednesday said that the Great Atlantic & Pacific Tea Co. has reached...

September 22, 2010

Blockbuster filed for bankruptcy early Thursday morning in its latest attempt to overcome nearly $1...

New York City Blockbuster filed for bankruptcy early Thursday morning in its latest attempt to overcome nearly $1 billion in debt. The chain filed for Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of New York. As part of its re-capitalization plan, Blockbuster said it would attempt to reduce its debt load to $100 million or less.

August 26, 2010

Blockbuster is preparing to file for bankruptcy next month, The Los Angeles Times reported on...