December 26, 2002 

Daily Bankruptcy News

Brought to you by BKINFORMATION.COM - The Source for Business Bankruptcy Information on the Internet 

Also available on the Web (with links to the news stories)  at: http://bkinformation.com/News/DailyNews.htm

Prior editions available at http://bkinformation.com/bankruptcy_news.htm

         
Owner of bankrupt casino sours on Hyatt
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Current Lease Obligations under Bankruptcy Code Section 365(d)(3): The Controversy Continues

IRS Considering Guidance on Insolvent Company Issues
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Corporate Reform:

The year of the corporate scandal
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Holiday Challenge
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Making Scrooge look good
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Execs reap benefits of cushy loans
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Ordinary people, extraordinary feats
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Panel eyes split of CEO, chair roles
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Provisions of Confirmed Plan of Reorganization Trump Conflicting Result Under State Law

Priest scandal snowballs
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Church begins property sale to pay for claims
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Boston archdiocese seeks suits' dismissal
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Bankruptcy trustee goes after Evergreen salespeople
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Candy cane factory gets sweet reprieve
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Retailing:

U.S. retailers face worst holiday sales in 30 years
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US Stores Hope for Strong Post-Christmas Sales
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Aggressive discounting is expected at after-Christmas sales
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Pocketful of Plastic A Hot Holiday Item - Retailers Hope the Hype Around Gift Cards Will Pay Off This Season
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Emergency Claus
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Asset-backed securities: Pretty packages or lumps of coal?
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Safety-Kleen Gets More Time To Seek Turnaround Plan
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Office vacancy rate up in 2002 in city, suburbs
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Changes hit rental company
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Ex-employees seek bankruptcy filing for Wade Cook
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Energy:

Major California utilities set to resume buying power
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Seven Seas shares halted after Chapter 7 filing
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Seven Seas/Bankruptcy: Plans To Continue Opers
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Seven Seas Receives Notice of Involuntary Bankruptcy Petition
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Errors Cut Enron Payments to Cal-ISO
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Kmart:

Kmart teeters on $2 billion loss
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Bankruptcy saga costly for Kmart
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More store closings forecast for Kmart
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Kmart Reports Quarterly Loss of $383 Million
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Kmart Sees Bankruptcy Exit Despite Loss
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$1.5 billion charge for Citigroup
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Bank of America plans to set aside $1.2 billion for bad loans
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Critics Fear Bank 'Firewalls' Also May Have Some Cracks
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Problem loans force BofA to lift reserves
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Top Banks Announce Big Hits
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World Kitchen Plan of Reorganization Confirmed by Bankruptcy Court
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Centennial HealthCare files for bankruptcy protection
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West Tennessee draws scrutiny of bank regulators
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Foreclosures are up sharply
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Wells Fargo Financial Leasing to Acquire Assets of Telmark, Lease Financing Subsidiary of Agway
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Regulators seek control of ailing health plan
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  Airlines:

Do-or-die days at United Airlines
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United holds strong hand against lessors
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Even High-Risk Investors Reluctant to Touch United Airlines
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Airline pain spreads: Disney and Pitney Bowes write down jet-lease exposure
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United wants to contract out maintenance
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Running an Airline With Union Advice
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United Airlines said set to enter tough U.S. labour talks
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United no longer exempts its employees from service charges
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Airline woes put FAA under more pressure
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US Airways Charts Reorganization in Court Document
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Filing Shows US Airways Expects Profit in 2009
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United bankruptcy scares workers
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Filled United seats hit record Saturday
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New US Air bankruptcy plan focuses on cost cutting
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Analyst predicts more losses for airlines in 2003
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Bankruptcies may alter airlines' path - Past filings have helped shape industry; so what does the future hold?
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Major Airlines Aim to Lure Back Travelers with Discounted Fares
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Crowded Airspace
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New United Court Filing May Spur Labor Talks
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Aloha says aloha to loan for survival
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Airline news you might not have heard in 2002
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Credit card debt warnings rejected / Federal judge tosses state law requiring alerts
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Telecoms:

Rich exec: Can't afford trial in New York
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Qwest unloads $1.9 billion in debt
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US prosecutors to reprieve Global Crossing executives
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Feds OK Level 3 Acquisition of Genuity
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S&P downgrades its rating of Qwest
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Global Crossing and its top executives dodge charges - Testimony about cooked books and document shredding not enough
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Neon exits bankruptcy protection
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Judge clears WorldCom-EDS pact
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Worldcom collapse could have been foreseen, study says
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WorldCom ex-CFO's hardship bid is disputed
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Secured lenders give Microcell breathing room
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FAO Schwarz:

Toy store chain tilts toward bankruptcy Uncompetitive prices chase away clients
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There's trouble in toyland
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Facing Debts, FAO to Close 70 Stores; 55 are Zany Brainy
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Coal in the stocking of toy company FAO Inc.
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Steel:

Lawyers Object to Bonuses Plan for Youngstown, Ohio, Steel Plant Executive
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ISG, Steelworkers Reach Labor Agreement
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Buckeye Steel seeks bidders
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Conseco:

Conseco gets OK for DIP
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Conseco Bankruptcy Could Help Spark Regulatory Changes
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Conseco Chief Is Skilled at Task
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Downfall of a giant
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New Bankruptcy Opinions
(No new opinions today)

Bankruptcy Jobs - 784 Jobs - Last Updated December 10, 2002
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Bankruptcy Court Web/Pacer Site Directory

Weird News
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Enron:

Enron Inquiry Broadened
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Jury May Examine 'Explosive' E-Mails
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Enron lays on a feast for lawyers and consultants
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Big Banks Must Still Reckon With Enron
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The Rising Heat on Enron's Lawyers
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Judge: Ex-Enron Execs on the Hook
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Judge says e-mails can be admitted
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Enron 'hard' assets probed
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Section 365(e)(1) of the Bankruptcy Code Can Preempt State Partnership Law

Encompass gets $60 million to repay distributors and other creditors
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Big bonuses given amid bankruptcy
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Law Firms:

In the front door, out the back - Law firms say it makes sense for image, recruiting talent
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Judge Rules Brobeck Owes Revenues to Partners' Former Firm
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Firms Announce Bonuses
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Firms Agree To Merge
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No Associates Allowed at Partner-Only Firm
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Economy:

U.S. firms greet year-end with charges and layoffs
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Data show U.S. economy struggling
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American Pad & Paper:

American Pad & Paper files for bankruptcy
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Ampad gets bankruptcy court OK for financing
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Big City Radio, Considering Bankruptcy, to Sell 3 Radio Stations for $139 Million
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NationsRent files reorganization plan
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United Pan-Europe Creditor Wants Chapter 11 Case Dismissed
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Accounting:

Wilkinson case judge cuts fees that firm sought
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Auditing teams draw fire - Disclaimer emphasizes limits of committees
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PwC is sued by Kmart shareholders
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Ernst & Young sued for sheltering taxes
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Charter Communications Fires Two Top Executives
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Accounting industry coming back strong
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Japan:

Koizumi's economic reforms headed for failure
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Koizumi hints he may dissolve Lower House if it would aid reform
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Japan Urges Banks to Apply US-Style Rules on Bad Loans
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Canada:

Mall creditors pleased
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England:

Rebel Investors in Insurer Lloyd's of London Get Late Reprieve From Possible Bankruptcies
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Russia:

Russian official calls for probe into Gazprom bankruptcy reports
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