October 31, 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

         

Bankruptcy Bites
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Airlines:

Can red ink be stemmed in time?
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Investor bails out, Vegas airline scrambling for funds
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UAL Workers Sell 11M Company Shares
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Bankruptcy Calendar: Nov. 2002
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Federal-Mogul Granted Exclusivity Extension
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Energy:

Dynegy Reports $1.8B Loss
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Dynegy Holds Its Tongue as Red Ink Gushes
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Auto sales could be economic 'time bomb'
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Law Firms:

Philly Firm Now Top Suitor for Brobeck's Hand
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Clifford Chance fights PR battle over memo ‘padding’ claims
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Getting by - Corporations' general counsel should survive cutbacks in stock options and company loans
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Inhouse lawyers slam firms for inflexible fee arrangements
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Shadow of Enron at ACCA Event - The tone is serious as 1,900 gather
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Linklaters review to claim 50 lawyers
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Five lawyers to go as Bakers axes 30
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Glennie to head KLegal’s global network
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Pillsburys halves its London presence
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McDonald takes the helm in Shook Hardy reshuffle
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Lovells unveils management shake-up
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Shoosmiths cuts lockstep to bolster partners’ merit pay
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Mars Music Closes Stores
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Gilat seeks US court protection
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Accounting:

SEC proposes tightening reporting rules for companies
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SEC to Vote on Making Companies Disclose Off-the-Books Debts
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Beware trustee's fees: Some are worth it, some not
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A Review of the Sarbanes-Oxley Act of 2002 and What It Means To The Credit Professional
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E&Y drops appeal case
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How Messier Kept Cash Crisis Hidden
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SEC Gets Even Tougher on Financial Disclosures, Executive Stock Sales
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Thrill-Ride Manufacturer Buys Bankrupt Company
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PocketScript poised to sell assets
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Benefits of U.S. Corporate Bankruptcy Laws
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Paper mill RFS Ecusta says its owes money to more than 1,700 creditors
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Dot-Com Workers Sent to Bankruptcy Court for Back Wages
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FTI Consulting Posts Fourteenth Consecutive Record Quarter
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Steel:

Nucor Clears Anti-Trust Review Regarding Its Purchase Of Birmingham Steel Assets
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Hundreds seek steel jobs
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Judge turns away request aimed at Stockwalk defectors
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Adelphia Business Reports $12.8 Million Net Loss For Sept
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Foreclosures leap 21% in SF Bay Area
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Aladdin sales proposal clears another obstacle
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Search For Bankruptcy Lawyers Reaches Record Numbers

Farmland:

Farmland's fertilizer unit is target
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Farmland rejects $180M bid offer
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Koch unit makes offer for Farmland plants
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Bankruptcy judge cuts taxes developer owes
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Corporate Reform:

Citigroup Separating Research Unit
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How credit professionals are coping with the current environment
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Window dressing
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More firms hire ethics officers
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ITC-DeltaCom Completes Financial Reorganization, Reduces Debt by $515 Million
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Unusual Clash in Asbestos Case
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Beliefnet keeps faith, survives bankruptcy
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Wikinson:

Tentative Wilkinson deal filed - Bankruptcy creditors, widow would split assets
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Settlement would give Martha Wilkinson home in Florida
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Miami Continues Fight With Insurers Over Pan Am Pollution - Claims bankruptcy agreement assigned insurance rights
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Profit warnings on the increase as investors lose patience
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The Retirement Mr. Welch Built
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Kmart:

Kmart cleared for bluelight.com sale
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BlueLight.com Gets Green Light To Sell Internet Unit
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Kmart Court - Pharmaceutical Deal With Cardinal To Continue
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Quick Ch 11 Emergence Seen 'Aggressive'
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Telecoms:

Groups Urge U.S. to Bar WorldCom Bids
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Teleglobe Selling Heart of Business to Beat Bankruptcy
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How 3 Auditors Helped Topple WorldCom
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WorldCom, EDS Wage War In Bankruptcy-Court Filings
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WorldCom, EDS in dispute over $80 million in fees
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Bonus fund angers WorldCom workers
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General DataComm Gets Extension for Reorganization
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FTC clears XO deal for Icahn
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Qwest losses widen as revenues fall
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EDS trims 4% of workforce amid dismal results
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Warnaco Inc. Announces Keen Realty To Market 23 Closing Calvin Klein Jeans Outlet Locations
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Bankruptcy Judge Renders Summary Judgment Decision For Postconfirmation Trustee In $400 Million Indemnity Case
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Banks Threaten Real Estate Economy
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Collapse of the Tech, Media and Telecom Sectors Starting to Weigh on the Health of Banks
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Mayoral candidate files for bankruptcy
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Are SPVs and Reits really different?
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Former PIE Mutual insurance executive indicted on conspiracy charges
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Farewell, HPR - Many of bankrupt HMO's 78,000 members finding costs higher with new plans
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Let the Supplier Beware - Bustouts Break the Bank and Leave No Trail
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New Bankruptcy Opinions
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Bankruptcy Jobs - 239 Jobs - Last updated October 28, 2002
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Bankruptcy Court Web/Pacer Site Directory

Weird News
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Enron:

Fastow Indictment Expected in Enron Case
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University of California Is Named Lead Plaintiff in Dynegy Suits
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Bank of America vows to fight Enron lawsuit
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Public barred from jury area
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Armstrong World May Limit Loan To Letters Of Credit
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Raleigh bankruptcy lawyer accused of sexual harassment
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Illusion Inc., a California corporation to fiel Ch. 7
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Monsour plan ready
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GFinancial Seeks Protection Under the Bankruptcy Code
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The Fate of SPEs
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More seniors turn to credit cards to survive hard times
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Working Through Your Key Customer's Financial Difficulties - Bettering Your Position For Payment On The Delinquent Account
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Sunbeam lenders win U.S. lawsuit
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Fighting for Payday Loans; Texas bank is first to challenge regulator
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Australia:

Auditor says HIH directors knew
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New Insolvencies
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Canada:

EFA Software Services Inc. Files Formal Notice of Restructuring
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England:

Extra time for Leicester City
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Airline business Select Prospects falls into administration
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MyTravel's accounts investigated
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Mortgage Possession Statistics - Third Quarter 2002
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E&Y drops Equitable Life appeal - JDS investigation will go ahead into audit practices of Big Four firm
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FSA suspends 'unlawful' accountants
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Accountants in fraud inquiry
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Japan:

Japan softens plan to rid banks of $1 trillion in bad loans
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Japan Settles for Baby Steps to Help Banks Buried in Debt
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Real Estate Chiyoda Project Files For Bankruptcy; Y148 Billion Debt
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Hollow victories as Japan dilutes loan reform
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Analysts sharply split over Japan bank reform plan
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Tokyo hesitates on financial reform
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May Nationalize Some Banks If Management Worsens
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Nisseki House crumbles into bankruptcy
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Japan's Foodsnet Files For Court Protection; Debt Y6.8 Billion
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Germany:

KirchMedia Unit Expected to Be Sold
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German money machine grinds to a halt
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Deutsche Bank posts shock loss
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