October 13, 2008

The Daily Bankruptcy News

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Law:

Miller and Weil Gotshal ride high
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Conflicts: "Clients Are Extraordinarily Understanding"
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The Case For Sleep: What Happens In Excel After Dark
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Mass Layoffs at Heller Ehrman
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Heller Ehrman Winding Things Down Quickly
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Can Heller Avoid Bankruptcy? Internal Memo Suggests It's Possible
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At Least 100 Heller Employees Laid Off on Friday
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Anatomy of a Dissolution: So Much For 60 Days WARNing
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London firms scramble to offload office space as market drops
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Cooley Bankruptcy Chair Testifies to House Judiciary Committee
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New Wave of Class Actions Filed in Wake of Subprime Collapse
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Two BigLaw Firms Talking Merger
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Big D.C. Law Firms Put Their Money on Obama
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Wall Street Woes Messing With Firm's Model and Strategy
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Trend of law-firm mergers expected to continue
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As Financial Crisis Continues, BigLaw Attorneys Seek Foreign Jobs
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Hiring Booms, but Firms See Bust Ahead
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Iceland: Land of Bjork, Failing Banks and Distressed Lawyers
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A Conversation with Elizabeth Wurtzel, Author and First-Year Lawyer
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McAfee, WilmerHale Texas Fee Fight Dwindles to Fraud Claim
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Paralegal Pleads Guilty to Taking $1.7 Million From Firm
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Lessons for Lawyers in the O.J. Trial
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10 Reasons to Refuse to Indulge in Competitive Bids for Selecting Law Firms
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Guitars of disbarred NC prosecutor sold at auction
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Bar associations across U.S. bulk up pro bono efforts in foreclosure cases
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50 Law Schools With Best Financial Aid Ratios
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Attorney Bribed & Tampered With His Own Client, Jury Finds
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Judges:

Snail-paced Robed Race for Justice
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Judge of the Day: Susan Fornof-Lippencott
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Wall Street:

US Stock Futures Gain on Bank Plan, Comments by Fed's Fisher
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Global Indexes Rise
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Markets rally after crisis talks
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Global Markets Jump on Vows of New Capital
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Indian Stocks Advance Most in More Than Four Years
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Emerging Markets Stocks, Bonds Rise on Global Support for Banks
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Markets Plunge in Latin America
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Asian Stocks Rebound After Last Week's Record Rout
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S&P 500 Logs Worst Week in 75 Years
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Mitsubishi and Morgan Stanley Renegotiating
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Morgan Stanley 'Urgently Needs Rescue,' Says Soros
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Morgan Stanley can't be allowed to go
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Bets being taken on Morgan Stanley
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Cash for Banks, but What About Morgan Stanley?
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Morgan Stanley needs a plan B
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Those Who Know History May Find It's Time to Invest
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Stocks: Bargain prices or traps?
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Shifting Careers: In Hard Times, Lawyers Advise Cautious Steps
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Finance Students Keep Their Job Hopes Alive
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Restoring Confidency - Let Goldman Go First
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An economics professor's gloomy views about Goldman Sachs drew a forceful response from the firm
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Investors face more uncertainty as bailout widens
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China's CIC May Have $5.4 Billion Frozen in Money-Market Fund
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Margin Calls Prompt Sales, and Drive Shares Even Lower
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Pensions:

Four consequences of pension losses
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Market slide pushes pensions back into red
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Autos:

Bankruptcy fears swirl around carmakers
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Risk of bankruptcies at automakers: S&P
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GM says it will not seek bankruptcy protection
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One Detroit bankruptcy would equal three
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GM or Ford bankruptcy could have devastating domino effect
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Global car industry faces shake-up
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Beyond merger talks, GM eyes federal funds
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Could Uncle Sam Save Detroit?
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Auto sector may 'collapse'
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Can GM Make It?
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Biggest US car firms may seek bail-out from government
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G.M. Said to Seek Merger With Ford Before Chrysler
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A Potential Merger Weighs on Detroit
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GM-Chrysler: A Lemon Of A Deal
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GM-Chrysler talk faces big test when markets open today
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Chinese Automakers Deny Chrysler Talks
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GM Europe labor opposes Chrysler merger
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GM-Chrysler Merger Wouldn't Fix Weaknesses, Might Create More
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GM + Chrysler = managerial distraction
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Cerberus to abandon Chrysler deal?
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Analysts skeptical of rumors about an auto-giants merger
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Ford appears strongest of struggling US automakers
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Ford CEO not worried about cash
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Ford May Sell Mazda Stake After Almost 3 Decades
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Job cuts as Ford chief changes gear
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GM could announce production cuts soon
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Detroit gears up for an overhaul
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GM Board Was Cool to Chrysler Link
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GM balks at sticker price for Chrysler: sources
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Job losses likely in a GM-Chrysler merger
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GM-Chrysler Merger: A Disastrous Deal?
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Severe industry slump spurs talk of unprecedented tie-ups
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Big 3 retirees worry about pensions
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Auto woes hit KY hard
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Car sales splutter as credit criteria tighten
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Lehman:

The Lehman Bankruptcy Fee Watch: Advisers to Get $906 Million?
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Insurance on Lehman Debt Is the Industry's Next Test
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Lehman Credit-Swap Auction Sets Payout of 91.38 Cents
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Lehman Credit-Default Swap Payout Could Climb as High as $365 Billion
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Lehman's Loss: More Than $200 Billion
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Lehman's CDS Mess: Who's on the Hook?
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Bad news on Lehman CDS
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The Lehman web is unravelling
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Lehman Aftershocks
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Lehman woes hurt Oakland development
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Failing Lehman in $100m payout plan
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Failure earns $17,000 an hour
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Nomura sees its future looking back to era of conservative bankers
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How Lehman bankruptcy forced insider sales at Boston Scientific
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Banking:

Fed Approves Wells Fargo's Takeover Bid for Wachovia
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Wells Fargo May Cut Wachovia Investment Bank Unit
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Two Banks in Midwest Fail
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Banks' Woes Spread to Their Suppliers
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Wachovia to Pay $178 Million to Settle RICO Class Action
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Banco Santander Eyes Sovereign Bancorp
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FDIC Easing of Trust Rules Increases Deposit Coverage
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Emergency Economic Stabilization Act of 2008 - Implications for Banking Institutions
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Small banks court depositors amid market turmoil
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Lehman Auction Leaves Cloudy Picture For Banks
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Bail-out banks could see jump in tax bill
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Barclays Plans to Raise More Than 6.5 Billion Pounds
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Investors sue execs of failed Integrity Bank
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Politics:

McCain Letter Demanded 2006 Action on Fannie and Freddie
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No New Economic Proposal Expected From McCain
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How the next president might handle housing crisis
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Biden Benefits From Trial-Lawyer Donations, Backs Them in Votes
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Palin Abused Power, Alaska Inquiry Finds
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Financial Literacy:

The Frugal Teenager, Ready or Not
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Biotech:

More Biotech Bankruptcies Might Not Be All Bad
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Health Care:

Trouble Looms For Watertown's Mercy Care Center
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Shipping:

Shipping knocked by credit crisis
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Economy:

US Gov't mulls plan to take ownership stakes in banks
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Fed's Fisher Says All Options Weighed to End Crisis
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Fed Says ECB, Others to Offer Unlimited Dollar Funds
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Asia fleshes out support measures, considers more
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After Weekend Financial Huddle, No Sign That Lenders Will Thaw
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Exploring the worst-case scenario
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Paulson in a State of Panic
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Your New Banker
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White House Overhauling Rescue Plan
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World May Be Lucky to Escape With Worst Recession in 25 Years
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US Economy Needs More Than Bailout
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Frank Says Congress Will Weigh Stimulus Plan for Middle Class
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European Leaders Seek 'One Voice' to Counter Crisis
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Ministers pledge 'no more Lehmans'
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US searches for effective voluntary response
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Nations Face Thorny Issues in Crisis
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Economic data to paint a gloomy picture
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A Power That May Not Stay So Super
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Protectionist Policies Won't Solve Crisis, Paulson Says
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Got $700 Billion? Sweat the Details
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Got Any Capital Gains Left?,
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Crisis may set back poorest: World Bank panel
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IMF Nations Vow to Prevent New Failures
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Dallas Fed Chief: Liquidity Facilities Are Temporary
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More Trusted Salespeople Needed
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Lessons from the Great Depression of the 1930s have not been learnt
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Soros sees end of US-led globalized market system
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In The Line Of Fire: Emerging Markets
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Rich countries plan aid cuts as credit crunch bites
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Bailout Bill Called Unconstitutional
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Another lost decade ahead?
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Northern Trust, two others, bid to run $700 billion bailout
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Real Estate:

Finance giants reportedly ordered to buy $40 bln of mortgage bonds
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Fannie, Freddie Mortgage-Bond Spreads Exceed Pre-Takeover Level
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Icahn takes another $20.8 million loss from WCI
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How Talks Can Avert Defaults
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Bankruptcy won't help borrowers all that much
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Cerberus eyes full ownership of GMAC; analysts skeptical
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Foreclosure crisis busies counselors, revises mortgages
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Mortgage rescue plans ignore tax consequences
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Countrywide Customers: Mortgage Help is on the Way for Many
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Illegal Immigrants Have Lower Mortgage Delinquency Rates
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Freddie Suspends Foreclosures for Ike Victims
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Accredited Sues Illinois Sheriff Over Eviction Standstill
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Madigan: Sheriff right to stop serving evictions
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Foreclosure workouts not working, AGs tell banks
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Oil/Gas:

Gas price marks biggest drop ever
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Chesapeake Falls Amid Concern Over Hedging Contracts
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Goldman Cuts Oil Price Forecasts on Financial Crisis
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Personal Finance:

Across the Country, Fear About Savings, the Job Market and Retirement
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The Crisis Goes From Bad to Worse
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Fear and Loathing in La Jolla
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Credit squeeze literally hits home as card limits, equity lines pared
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Across the Country, Fear About Savings, the Job Market and Retirement
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Corporate Reform:

Smack-A-CEO :)
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The Woman Who Could Have Prevented This Financial Mess Was Silenced by Greenspan, Rubin and Summers
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Tyco, Investors Want Judge to Freeze Assets of Former CEO Kozlowski
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Regulators in Need of Rehab
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Report finds flaws in SEC Bear Stearns probe
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Advertising:

Ad Firms, Already Lean, Cut Jobs
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Finance:

Crisis Is Milder Outside Finance
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Fed, ECB, Others Flood System With Dollars, Market Rates Fall
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Commercial Paper Shows Signs of Life
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GE Finance Arm Tightens Lending Standards Worldwide in Crunch
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Factoring as Alternative Financing
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As the credit crisis mutates, finance execs' concerns go global. Um, how's that Mexican subsidiary's funding?
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Borrowers get lease squeeze
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Student Debt:

Children's loans burden parents with new bailout
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No way out of student loan trouble
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Golf:

PGA Tour worried about the economy
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Movie Industry:

Entertainment Rights may be close to bankruptcy
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Funding freeze casts shadow on the silver screen
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L.A. Follows Its Own Script
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Television:

Wall Street woes worry TV industry - Issues with ads, budgets
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Municipalities:

New York faces up to downturn
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California Rating Threatened by Cash Crunch, S&P Says
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'It was like the dam broke' - Commonwealth scrambles to borrow amid meltdown
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Flint's economy 'in a financial crisis'
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Emeryville: Take a lesson from Vallejo
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Jefferson County seeks federal bailout
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A key lesson from JeffCo's sewer saga
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Sovereign Debt:

"The United States is now, in some very general sense, bankrupt"
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Hedge Funds:

Hedge funds driving stock collapse
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Harbinger Capital loses a third in three months
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Lehman collapse puts hedge fund in dire straits
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Hedge fund shares tumble
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Judge Allows Parts of Amaranth Class Action
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Russia Hedge Fund Suspends Redemptions
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Corporate Governance:

Something is amiss in corporate culture
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)

CEOs who duck blame are in denial, business leaders say
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There is No Affirmative Action for Minorities, Shareholder and Otherwise, in Corporate Law
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Bankruptcy Statistics:

Ratio of Chapter 13s Is Declining
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Colo. business bankruptcies jump 40 percent
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More People In El Paso Turn To Bankruptcy
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Forest Products:

US appeals court hears PALCO plan appeal
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Retailing:

Bankruptcy squeezes retailer's vendors
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Developers, Retailers Feel the Pain
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Aviation:

American flight attendants take case to passengers
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United CFO's parting pay: $2.4M
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DayJet's woes go beyond financing
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Bankruptcy Crimes:

Yuba City doctors accused of bankruptcy fraud
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Financial planner guilty of tax evasion and making false statements in bankruptcy case
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Ponzi operator pleads guilty to using false claim in bankruptcy
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Serial filer convicted of making false statement in chapter 13 bankruptcy case
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M&A:

M&A deals highlight slide in valuations
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Newspapers:

Newspapers' Web Revenue Is Stalling
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Tax:

The collection rate for IRS private debt collectors has plummeted from 11.7% to 5.1%
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Ratings Agencies:

Return of the credit raters
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New Bankruptcy Opinions
(1 new opinion today) 

Bankruptcy Court Web/Pacer Site Directory

Chapter 7, 12 & 13 Private Trustee Locator
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Recent Ch. 11 Filings
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Bankruptcy Jobs:

(1), (2), (3), (4), (5), (6), (7), (8), (9), (10)
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DIP Financing:

Bankruptcy financing gets pricier and more elusive
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The Credit Crisis And DIP Financing
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Bankruptcy Reform:

Warren: Who Needs Bankruptcy Reform?
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Bankruptcy: A bankrupt system?
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Obama's Plan: Fraud Prevention, Bankruptcy Reform
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Insurance:

AIG knew of potential problems in valuing swaps
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Yamato Life's demise raises doubts about asset models
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AIG Should Have Tried Bankruptcy
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AIG to continue lobbying lawmakers despite bail-out
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Fed to Name Trustees for AIG Stake
(WSJ: separate paid subscription required)

Annuities Put Pressure on Insurers
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Florida cat fund might need bailout
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Insurers see lower 3Q income, S&P revises outlook
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Mass Torts:

Musical Chairs: Gilbert Randolph To Add Jerry Oshinsky
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In bankruptcy, Grace lawyer says asbestos was 'total money machine'
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Bonds:

Bond market tightens in wake of mortgage-backed failures
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Corporate Bonds Slide Along With Stocks
(WSJ: separate paid subscription required)

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Distressed Investing:

Everybody Loses, Except Buffett
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Derivatives:

Credit swaps dragged out of shadows
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The Next Derivatives Bloodbath: Insurance Companies and Auto Makers
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Unregulated swaps seen as big factor in Wall Street collapse
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High Time to Corral Financial WMDs Beyond the Bank Bailout
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Derivatives market face biggest-ever payout over Lehmans
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Insider Compensation:

Taking the money and running, big-time and small-time
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Firms Try to Shore Up Incentive Pay
(WSJ: separate paid subscription required)

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Predatory Lending:

San Diego official accuses Washington Mutual of predatory lending
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Accounting:

AIG's auditor scandal
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CFOs Want More Disclosure on Auditors
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Accounting 'Improprieties' Alleged at Mother's Cookie
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Fair value rules come under scrutiny
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UK:

Britain Props Up Banks as Fed Leads Funding Effort
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Magic circle firms head up Government's 37bn bank bailout
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Royal Bank of Scotland, HBOS Set to Be Taken Over by Government
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UK Government Will Create New Organization to Manage Banks
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RBS Cedes to UK, Seeks $34 Billion as CEO Quits
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UK May Appoint Bank Representatives, Official Says
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Brown Uses Control of British Banks to Boost Lending
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Investors worried about dilution of shares
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A minute before midnight for banks
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Britain's £37bn injection offers prospect of control over two banks
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London Banks to Slash 62,000 Jobs Amid Credit Crisis
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New banking code to restrict leverage
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Banks must reveal full exposure to sub-prime
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'Iceland effect' stalks mutuals
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Offshore Icelandic funds at risk
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How I was frozen out of my Icesave account
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Councils invested £100m in Iceland despite warnings
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Christie struck by bank collapse
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U.K. Finalizes RBS Takeover Plans
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No admission that regulation of the banks failed
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Millions tied up in Iceland bank crash
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A bankruptcy every 5 minutes in Britain
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UK May Already Be in Recession
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Housebuilding woes continue
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Mortgage wish-list 'not prudent'
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UK games devs face potential market failure
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Law ambiguous if client money gets lost in the crunch
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EU:

European Leaders Vow Bank Guarantees, Bid to Stop Financial Rot
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Europe Raises Stakes in Bailout
(WSJ: separate paid subscription required)

Germany Pledges EU500 Billion in Bank Rescue Plan
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U.S. Missteps Are Evident, but Europe Is Implicated
(NYT: separate free registration required)

Trichet Says ECB May Need to Examine `New Steps' on Collateral
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European Companies Batten Down Hatches Amid Crisis
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Europe Offers Bank Guarantees, Seeks to Halt Financial Meltdown
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Eurozone poised to pledge billions in rescue scheme
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Israel:

Israel stocks plummet 7.68% after delayed opening
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Middle East:

UAE Guarantees Bank Deposits, Interbank Lending
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Gulf Countries Unveil Measures to Back Banks
(WSJ: separate paid subscription required)

Dubai CDS widen
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Australia:

Australian sharemarket loses $190bn in one week
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Australia guarantees deposits
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JPMorgan Lowers Forecast for Australia, New Zealand 2009 Growth
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Consumer group urges changes to bankruptcy laws
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Australia Stocks Surge After Bank Guarantees Cut Funding Costs
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Australian Job Ads Decline for Fifth Month After Growth Slows
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Japan:

Yamato files for bankruptcy
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Japan mulls revival of public fund injections for banks 'just in case'
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Crisis hits Japan full force
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Iceland:

The shocking errors behind Iceland's meltdown
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What does "national bankruptcy" mean?
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Iceland's leader threatens to sue UK over 'bullying' reaction
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Icelanders vent fury as country seen headed for bankruptcy
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A cruel wind
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Aftershocks Felt From Iceland
(WSJ: separate paid subscription required)

Iceland's economic crash hit fast and hard
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Norway - Iceland says will meet obligations
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Who owns Icelandic bank debt?
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Icelanders face long, hard winter
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Move quick to snap up Iceland
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PM: British to blame for Iceland bank collapse
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Pakistan:

Bankruptcy beast prowls
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Pakistan on mercy mission to raise funds
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Pakistan to Get $1.4 Billion From World Bank
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Spain:

Spain's Showy, Shaming Debt Collectors
(WSJ: separate paid subscription required)

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Ukraine:

Ukraine Wobbles As The Financial Ground Beneath It Trembles
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Canada:

Business looking up for Calgary's bankruptcy trustees
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No parachutes for rank and file, golden or other
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Norway:

Norway to Spend $55.4 Billion to Boost Liquidity
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Russia:

Russia stocks open mixed
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Indonesia:

Indonesia Raises Guarantee on Bank Deposits 20-Fold
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Germany:

German Stocks Rally on Bank Rescue Plan
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Please note that the Daily Bankruptcy News is primarily a news link gathering service.   This means that most of the headlines contained in the publication are a collection of links to stories posted on the Internet by various third party publications.  Such content is owned by third party sources, not the Daily Bankruptcy News, and in some cases, these links change or expire, which means you may not be able to view some news stories in prior editions of the Daily Bankruptcy News. The DBN subscription fee for access to certain links is not a fee for access to the content of the links, but is a charge for the considerable work involved in gathering, organizing and presenting the links. Use of this site and The Daily Bankruptcy News is subject to our Terms of Use.If you received the Daily Bankruptcy News via email (and you have a paid subscription account), to view a news story, click on the headline, and the story should open in your web browser. To view additional stories, click back to the email and click on additional headlines, which will cause new stories to open in your web browser.  You can view the Daily Bankruptcy News on the web by clicking here, or by going to BKINFORMATION.COM and clicking on the Bankruptcy News button.  Note that the Daily Bankruptcy News is distributed via "HTML email" in which the links to the news stories are embedded in the headlines.  The email you receive should look like a 3-column newspaper, with headlines for each story. If you receive the Daily Bankruptcy News by email and the copy you receive is not formatted like a 3-column newspaper, or does not seem to contain links to the news stories, you may have an email client that is not capable of receiving HTML email, or is not configured to display such email.  You can however, receive a daily email notifying you when the Daily Bankruptcy News is updated on the web site. If you would like to receive such an email, please let us know at admin@bkinformation.com.You can search the headlines from prior editions of the Daily Bankruptcy News by clicking here.

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Passwords
Access to certain links in the Daily Bankruptcy News is available only to readers holding a paid subscription.  These links are currently marked with a "DBN Subscription Required" notation. The cost of a subscription is $50/year, payable annually.  Volume discounts are available for sites with multiple users. Click here to see a schedule of discounts. Complimentary subscriptions are available for full-time educational and governmental employees and for full time students. For information about discounts or educational/governmental subscriptions, contact us by clicking here. A separate password is required for each member of a firm wishing access to restricted links. New readers can receive a free password good for 30 days by going to http://bkinformation.com/RegistrationForm.cfm. Readers who wish to change their passwords should go to http://bkinformation.com/ChangePasswordForm.cfm. Readers who have forgotten their password should go to http://bkinformation.com/GetPassword.cfm

Adding Your Email Address To The Distribution List
If you would like to start receiving the Daily Bankruptcy News by email each day, go to http://bkinformation.com/SubscribeDBNForm.cfm  and fill in the information requested.  There is no charge to be placed on the distribution list to receive the headlines, although access to many of the links behind the headlines requires a paid subscription (see above, under Passwords). If, after adding your email address to the distribution list, you do not receive an email confirming the addition, please contact us by clicking here for help.  

Removing Your Email Address From The Distribution List
If you already receive Daily Bankruptcy News by email and you wish to remove your email address from the distribution list, click here and send the email that should appear.  Note that the email must be sent from the same email address at which you are receiving the Daily Bankruptcy News. You do not need to type anything in the body of the email message.   If you do not receive an email confirming deletion of your email address from the distribution list  for the publication, contact us by clicking here for help.

Daily Bankruptcy News is published each business day by BKINFORMATION.COM, L.L.C.  You can reach us at 281-402-3957 or at accounting@bkinformation.com (email inquiries are usually answered substantially more quickly than phone inquiries).