The following is a list of some recent larger U.S. bankruptcy filings in various industries. To the extent you are a creditor to any of these debtors, or other entities which may have filed for bankruptcy protection, you as a creditor are entitled to certain protections under the Bankruptcy Code.
Theme park operator Six Flags files Chapter 11; seeks expedited approval of pre-pack plan.
Noble International Ltd., files Chapter 11 in the Eastern District of Michigan.
Auto parts maker Metaldyne Corp. files Chapter 11; reaches agreement to sell assets.
Auto supplier Visteon Corp. files Chapter 11; Ford Motor Company to support DIP financing.
Hayes Lemmerz International, affiliates file Chapter 11; secure $100 million in debtor-in-possession financing.
Nanogen Inc., affiliates file Chapter 11; agree to sell assets to Elitech.
Butler Services Intl. files Chapter 11; reaches stalking horse asset purchase agreement.
Fitness firm AGT Crunch Acquisition files Chapter 11; CH Fitness is stalking.
Casino-resort Fontainebleau Las Vegas files Chapter 11, adversary proceeding against banks.
Illinois builder The Kirk Corporation files for Chapter 11 protection in Illinois.
R.H. Donnelley Corp., affiliates file Chapter 11 in Delaware; reach agreement with creditors.
Holding company American Community Newspapers Inc. files for Chapter 11.
OIL AND GAS
Energy Partners Ltd., affiliates file Chapter 11; reach agreement with noteholders.
Houston-based Eagle Geophysical Inc. files for Chapter 11 protection in Texas.
PetroRig I, Petrorig II, Petrorig III file for Chapter 11 protection in New York.
TXCO Resources, subsidiaries file for Chapter 11 protection in Texas.
Caraustar Industries, affiliates file Chapter 11; $75 million DIP financing facility approved.
Aviza Technology, subsidiaries file Chapter 11; Sumitomo Precision seeks to buy assets.
Anchor Blue Retail Group, Inc., files Chapter 11 in Delaware.
Eddie Bauer Holdings, Inc. and its affiliated debtors file Chapter 11 in the District of Delaware.
Filene’s Basement Inc., files Chapter 11 in Delaware.
Z Gallerie files Chapter 11 in the Central District of California.
As a result of a bankruptcy filing, an automatic stay is put into effect prohibiting creditors from seeking to take certain action outside the bankruptcy proceedings to collect amounts due to them from the debtor which arose prior to the filing of the bankruptcy petition. Nonetheless, you as a creditor may be entitled to take certain legal action. For example, if you are a supplier who has shipped goods which were received by the debtor within forty-five (45) days prior to the Bankruptcy filing, you should submit a timely reclamation demand in order to recover possession of your products, or, at the debtor’s option, receive a higher priority administrative claim as to those goods when compared to a typical unsecured claimant thereby significantly increasing the likelihood of receiving payment. In order to have the court consider such a demand, you must timely submit the reclamation demand in writing.
As part of court orders entered shortly after the filing of the case, the Bankruptcy Court may grant the debtor the discretion to pay certain "essential suppliers" – to be determined by the debtor – all or some of the pre-petition amounts due in exchange for an agreement to, among other things, continue supplying in accordance with similar terms. If deemed to be one of these "essential suppliers," a letter outlining this agreement will be sent to you by the debtor. However, you can take certain action now to increase the likelihood of being designated a critical vendor.
The Court may also enter an order granting an administrative expense priority to creditors in connection with any products received by the Debtor shortly before and after the bankruptcy filling.
Please note that the filing of the bankruptcy petition by the debtor may relieve you from the agreements and understandings that you have exchanged with the debtor. Alternatively, if your agreement is assumed by the debtor, all amounts due to your company may be paid. You may have options available to you that may minimize your company's exposure under these proceedings; however, this would require a complete review of your agreements with the debtor.