Category Archives: Chapter 11 Bankruptcy

Bankruptcy attorney provides information about Chapter 11 bankruptcy for businesses.

Billionaire Files for Chapter 11 Bankruptcy in New York

According to Crain’s Detroit Business, Billionaire Tom Gores of Platinum Equity LLC has received approval for Chapter 11 bankruptcy in New York. Chassix Holdings Inc., a company owned by Platinum Equity LLC, was not making its bond payments and had not kept up with suppliers’s payments due to slowing profits, and had the option to file for Chapter 11 bankruptcy or be forced to close. Eighty percent of Chassix’s unsecured bondholders and nearly 72 percent of secured bondholders approved the bankruptcy filing and restructuring payment plan. Platinum Equity LLC’s stake in the company will be reduced, but operations will continue. As operations continue, Chassix Holdings Inc. say it intends to make its payments to suppliers on time to prevent necessary shipments from coming to a halt. Chassix was created in a merger between SMW Automotive Inc. and Diversified Machine Inc. The company supplies General Motors and BMW with brakes and…
Read More »

Posted in Chapter 11 Bankruptcy | Leave a comment

How Can a Chapter 11 Bankruptcy Help an Individual?

For many people, the only way to overcome mounting financial stress is to file for bankruptcy. Issues with debt can happen to anyone—we have reported in the past about well-paid entertainers, athletes and politicians who have had to file for bankruptcy to overcome tremendous financial obstacles. Recently, the Columbus Dispatch reported that NHL player Jack Johnson, who has earned more than $18 million during his nine-year career, had to file for bankruptcy. The newspaper reported that the bankruptcy stems from risky decisions made by his financial handlers. According to the Dispatch, Johnson took out a string of high interest loans that he defaulted on. Many of the loans reportedly originated with his parents, according to the newspaper. “I’d say I picked the wrong people who led me down the wrong path,” Johnson, a 27-year-old defenseman, told the Dispatch. Johnson said that he is now working with a different team of…
Read More »

Posted in Bankruptcy, Chapter 11 Bankruptcy | Leave a comment

Kodak Emerges From Bankruptcy

According to the Wall Street Journal, Eastman Kodak Co. emerged from bankruptcy last week, more than two years after its January 2012 Chapter 11 filing. Last month, a bankruptcy judge approved the company’s plan to exit bankruptcy protection. Kodak was forced to sell assets and shed unprofitable business lines to reorganize around its commercial-imaging business, which includes digital printers and motion picture film, according to the Journal. According to court paperwork, the company was able to arrange $695 million in financing, and received $406 million in new equity investments from unsecured creditors. “Next, we move on to emergence as a technology leader serving large and growing commercial imaging markets,” Chief Executive Officer Antonio Perez said in a statement. According to NBC News, Kodak failed to get a significant value for a number of its patents before the bankruptcy, which was a “crucial” reason the company had to sell its core…
Read More »

Posted in Bankruptcy, Chapter 11 Bankruptcy | Tagged | Leave a comment