June 16, 2003 

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
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Bankruptcy Reform:

Bankruptcy bill threatens attorney-client privilege
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Formica shuns ex-chairman's bid
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Formica to get $175M from Cerberus, Oaktree
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Airlines:

The fine print of airlines' fly 3, get one 1 free deals
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317 pilots lose jobs in Canada
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Air Canada, the pilots and all that Jazz
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AC buyers in fantasy land
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No severance pay for Carty
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Former AMR Chief to Get Millions, But Won't Earn Severance Pay
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Hawaiian Airlines Gets Extension From Lessor ILFC
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Midwest Air parent warns of bankruptcy
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Money lost, trust broken - Bankruptcy lawyer Pahl's prison path paved by scam
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Law Firms:

Top 10 Litigators
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Slow growth: Law firms look for quality hires
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A Matter of Trust - Stung by corporate collapses, workers look to ERISA for relief
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Firm Builds NY Office With Raid
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Legal marketing: Talent alone does not a law firm make
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Brobeck Chips Away at Debt While Clients Dispute Millions in Bills
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Bingham reportedly eyeing buy of L.A. firm
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Martha Stewart's Attorneys 'Probable' Witnesses
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Law firms doing 'accounting work' post-Enron
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Defection Costs Firm Fourth Rainmaker in Six Months
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S.F. lawfirm bulks up for China push
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Law firms trying to buck economy with marketing
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GS Industries can liquidate
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Friede Goldman Halter, Inc. Files Chapter 11 Plan and Disclosure Statement
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HomeGold:

Court to weigh HomeGold options
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Independent trustee sought for HomeGold
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Investors hear Carolina chief
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Court-appointed expert says HomeGold should close
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HomeGold's luster fades after millions in losses
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Carolina Investors held community's life savings
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Homegold Furor Envelops Lexington Businessman
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Pittsburgh: City closer to plan to stave off bankruptcy
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BMI files for bankruptcy
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Big Risk, Big Rewards in Post-Bankruptcy Plays
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Buyer of Bankrupt South Florida-Based Car Rental Chain to Keep Most Employees
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Subprime lenders are profiting from inaccurate credit records
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Ready Staffing's assets part of new firm - Original company and its subsidiaries file Chapter 7
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Dragnet Out For Deadbeat Dads
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Operation rounds up deadbeat parents
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Three Struggling Tampa Bay, Fla.-Area Companies to Lay Off Hundreds of Workers
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  Telecoms:

WorldCom rises from bankruptcy to face a harsh telecom climate
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Reports Reveal Splintered Legal Department at WorldCom
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How a Distinguished Roster Of Board Members Failed to Detect Company's Problems
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Cowboy Culture Played Host at WorldCom Ranch
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Government May Cut Business With WorldCom
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Fastnet wants access to cash
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Global Crossing postpones hearing
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XO to Tender Global Crossing Debt Offer
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Microsoft to pay $60 million to Global Crossing
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Whale of a deal
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Winstar Suffers Setback In Its Claims Against Lucent
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Allegiance Telecom Inc. Could Have Leverage over Its Lenders
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Fleming:

Fleming says offers are rolling in
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Fleming Mulls Sale Of Grocery Wholesale Business
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Layoff Ax Continues to Swing on Wall Street
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Is your firm prepared to withstand the threat of insolvency?
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Executives tremble as judge slaps hand in privately held 'cookie jar' - officers and directors of private companies cannot not simply rubber-stamp whatever the boss wants
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Kmart's Old Owners Bitter; Its New Ones May Be Next
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Big hospitals rack up millions in '02 losses
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Energy:

Judge allows supplier to pull plug on energy contract
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Connecticut Light & Power to Pay More to Get Wholesale Electricity
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NRG Units Seek Bankruptcy Court OK To Reject 9 Contracts
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Covanta Energy Mulls Using ESOP To Frame Chapter 11 Plan
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Austin: Suit - Bradley controls $30M
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Accounting:

Will FASB Put Off-Balance-Sheet Entities Off-Limits?
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Freddie Mac: They fiddled, but the economy didn't burn
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SEC To Probe Penthouse Books
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Major hotel companies compete for bankrupt Las Vegas casino
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Alterra Asks Court To Approve Auction Procedures
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Big bonuses don't reflect big profits
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Conseco:

Pulling Victory Out of Defeat: Trump Loses Stake, Gets $100m
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Conseco able to swing more creditor votes
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Court Agrees To $30 Mln DIP Loan For Acterna
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Bankruptcy no barrier to buying home
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Denver: Will Hoover facing additional charges?
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Corporate Reform:

The SEC is considering stiffer terms in settlement agreements, including banning the use of insurance to pay fines
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Eagle Food Seeks Extension To File Exclusive Chap 11 Plan
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New Bankruptcy Opinions
(No new opinions today)

Bankruptcy Court Web/Pacer Site Directory

Weird News
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Asbestos:

Lawyers see unlikely benefits from asbestos bill
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Labor and business leaders revived talks over legislation to rein in asbestos suits that threaten dozens of large manufacturers
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Bankruptcy Judge Hopes to Resolve Armstrong Case, Proxicom Dispute Quickly
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Suit Alleges Montana Officials Knew Of Asbestos Dangers
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Maxxim Medical Wants More Time To File Turnaround Plan
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Stay annulment isn't extraordinary relief

Phoenix: Yellow Cab's creditors likely to get little back
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Oregon College Finds Few Assets to Recover from Loan to Bankrupt Startup
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Buying into bankrupt firm?
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Court Approves Boundless Deal Over Rival's Objections
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Creditors of Troutman's Emporium Get in Line for 60 Cents-on-Dollar Payouts
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Korea:

Korea ruling shows change for chaebol
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SK Group owner jailed on fraud, illegal accounting charges
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SK Corp.'s board endorses bailout of ailing sister firm
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England:

Bidding intensifies for Cordiant
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Church scrutinizes spending as dioceses face bankruptcy
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Investors spurn Hollinger plan
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Piling On The Debts
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Is going bankrupt the way to stay afloat?
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Paying it back needn't hurt
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What to do when it's walkies
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Columbia:

Govt. liquidates Telecom
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Japan:

Bankrupt people to lose less assets
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Japan wakes up to fatal work ethic
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Auditors were close to declaring Resona bankrupt
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Japan Corporate Bankruptcies Down in May
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Germany:

KirchMedia creditors opt for liquidation
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KirchMedia to push for deal on film rights
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Canada:

Creditors can squeeze your RRSPs
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Thailand:

IFC: "Alarmed" By Thai Court Ruling On TPI Administrator
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Thailand's mistake
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Poland:

Large Construction Company Files Bankruptcy
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