October 23, 2008

The Daily Bankruptcy News

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Law:

Dechert Chairman Responds to Layoff Stories
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Dechert: Inside The Black Box
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Firms learn a lesson on being candid about layoffs
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Legal Market Predictions: Double the Extreme
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Global Bailouts, U.S. Lawsuits?
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Corporate lawyers expect a surge in litigation
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Another Subprime Securities Lawsuit Dismissal
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Bankrupt law school will shutter its doors by the end of the year
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Former senior Milberg Weiss partner asks for no prison time in kickback case
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Milberg Hires New York University's Arthur Miller to Head Appellate Group
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It's the End of the World as We Know It
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Former Heller managing partner joins Gibson
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A Happy Letter From Simpson Thacher
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Default Sanction Suggested for Computer Spoliation
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Lawyers Working in Open-Plan Arrangements
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Law Firms Choose Charities Over Holiday Parties
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Feuds and Fiefdoms at the Firm
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Is Pro Bono Legal Work Self-Serving and Inherently Liberal?
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BAR/BRI Class Settlement Approved; Law Firms' Fees Cut
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Calendar is Exhibit A in case for beautiful lawyers
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The Great American Pants Suit Heads to Court of Appeals
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Judge's $54 Million Lost-Pants Claim May Be Poor Fit for Appeals Court
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LA's Dopest Attorney
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Mortgage Lawyer Killed in Parking Lot Shooting
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Hunton & Williams LLP Forms Multidisciplinary Group to Guide Clients Through Global Financial Crisis
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Blank Rome Keeps Clients Ahead of the Curve with Financial Reform Task Force
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Making Punishments Fit the Crimes
(WSJ: separate paid subscription required)

Cooley Advises Goody's Creditors in Emergence From Chapter 11
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King & Spalding Adds to Its Bankruptcy Practice in New York
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Look At Me, Ma! I Gotta Brand New Practice Group!
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How Not to Get Admitted to the Bar
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Job-Seeking Law Students Advised to be Flexible and Expect a Long Search
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E-Mail Goof Creates Buzz Over Judge, Prosecutor Jobs
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White & Case closes in Milan, pulls out of Italy
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Say What?!
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Judges:

How Alex Kozinski Kept Case Real
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Police Called In After Judges Squabble
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Judges of the Day: Maria Espinosa Dennis and David Miller
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Judge Booted from Bench
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Wall Street:

Investors Flee as Hedge Fund Woes Deepen
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US Stock Futures Retreat as Foreclosures Jump
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Stocks Poised to Extend Selloff
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Dow skids more than 500 on profit forecast worries
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S&P 500 Drops to Lowest Level Since 2003
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Asian Stocks Drop to 4-Year Low
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Global stocks, commodities fall on slowing growth
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Goldman Sachs to cut staff by 10 pct
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Wall St faces up to 78000 job losses
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Dollar Bill On Floor Sends Wall Street Into Frenzy :)
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Senator Shocked That JP Morgan Had Inside Information On Bear Stearns
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How Wall Street Robbed You
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Eaton Vance, Deerfield Sell Loans, Leverage Unwind Saps Credit
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Self-Employed Forecaster Tops Big Banks With US Housing Call
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Committees:

Upcoming ED PA Organizational Meetings
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Autos:

G.M. May Sell ACDelco Unit
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General Motors searches for an angel
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GM May Seek Deeper Cost Cuts as Chrysler Merger Talks Progress
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Chrysler's future crumbling along with troubled economy
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Ford has little room to maneuver
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Michigan Lawmakers to Ask Treasury, Fed to Help Automakers
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Nissan Said to Be Unwilling to Pay Cash for Chrysler
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Chrysler should seek bankruptcy and shrink
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GM and Chrysler: Merging the two sickly car firms makes little sense - except for one thing.
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Economic woes worrisome for auto dealerships
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Federal-Mogul's profits drop 74%
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Carmakers may tap EU bank rescue cash
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Fiat Says Net Income May Plunge 85% in 'Worst Case'
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Daimler Cuts Earnings Forecast as Auto Sales Tumble
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M&A:

How wide can deal-spreads stretch before they break?
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Food/Drink:

Metromedia, Ponderosa parent, files for Chapter 11
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Court approves Bennigan's franchise takeover
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Magret de Canard? Bof! Un Big Mac, s'il Vous Plait!
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Judge approves Twinkie-maker's investment plan
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Owner of Ponderosa, Bonanza Steakhouse files for Chapter 11
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Private-equity firm buys Bennigan's
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Lehman:

Ex-Weil Partner Faces Old Firm In Lehman Bankruptcy (scroll down)
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Lehman Bankruptcy Fees Could Reach $1.4 Billion, Besting Enron
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Bank heads stand firm after Lehman rocks market
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Post-Lehman, finance lawyers are left facing a much-changed world
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Lehman Swaps: No Visible Problem
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Lehman Case: Jurors Will Start With An Assumption of Greed
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Lawsuit pile facing Lehman may become an Evergreen
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Lehman Debt Swaps Settled for $5.2 Billion
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Singapore says banks interested in Lehman bonds
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We See Dead People: $250K Regulatory Fine for Lehman Short-Sales
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About 150 Lehman Employees Stay On To Unwind Assets
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Lehman Brothers seeks place for 2400 UK staff in pension lifeboat
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Lehman loss estimates for schools grow
(DBN Subscription Required)

Lehman's Private Equity Stakes Draw Interest
(NYT: separate free registration required)

Layoffs Watch '08: BarcLehs
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DBS: Clients lost money in Lehman-linked notes
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Lehman's New 'Short' Problem
(WSJ: separate paid subscription required)

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Accounting:

Fair Value And The Recent Market Turmoil
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New audit rules on risk
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The Crisis over How to Audit in a Crisis
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Changes to accounting rules risk denting confidence, say investors
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Accounting Worker Confidence Plunges
(DBN Subscription Required)

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Textiles:

Marion mill files Chapter 11 bankruptcy
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Skiing:

Brinksmanship at Fortress Investment Group
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Health Care:

Carraway Employees Seek Jobs At Other Hospitals
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National Century jurors hear wiretap of ex-CEO Poulsen
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Carraway has no patients left
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Tough times for hospitals in Hawaii may get even worse
(DBN Subscription Required)

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Private Equity:

KKR Could Grab "Biggest Bankruptcy"
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Fraud:

Petters update: Two court dates, more money troubles
(DBN Subscription Required)

Judge applies brakes to slew of Petters suits
(DBN Subscription Required)

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Construction:

Construction Industry Braces for Contraction
(WSJ: separate paid subscription required)

Window Maker Closing Durham Plant, Cuts 428 Jobs
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Personal Finance:

Working Longer As Jobs Contract
(NYT: separate free registration required)

National yard sale beginning in California
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Getting beyond the instant-gratification ethic
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Non-Profits:

Napa Red Cross may face bankruptcy
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Fitness:

Omni parent to shut down
(DBN Subscription Required)

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Municipalities:

Has county swapped its cotton-pickin' mind?
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For a bad example, just look about you
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Hotels:

Starwood Hotels Profit Declines as Spending on Travel Slows
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Economy:

MBA Forecasts Recession, 7.8 Percent Unemployment
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U.S. Banks Still Aren't Lending
(DBN Subscription Required)

Bush Invites World Leaders to Economic Talks
(NYT: separate free registration required)

Leaders Differ on Financial Crisis as Summit Planned
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Bernanke May Rely on Fresh Tactics to Aid Economy as Fed Rate Heads to 1%
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Struggling to keep up as crisis raced on
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From Iceland to California, we're in this economic mess together
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Global Recession Concern Spurs Governments to Boost Spending
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Fed Raises Rate It Pays on Banks' Reserve Balances
(DBN Subscription Required)

US cities are among most divided on rich-poor lines
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Volcker Says US in Midst of `Unprecedented' Financial Crisis
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Fed May Expand Money-Fund Debt Purchases Beyond 50 Companies
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How Will Shrinking Boomer Spending Affect the Economy?
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In Chaos Lies Opportunity
(WSJ: separate paid subscription required)

Manufacturing confidence falls sharply, says CBI
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The Corporate Profits Boom vs. Recent Earnings Reports
(NYT: separate free registration required)

Greenspan Urges Tighter Regulation After 'Breakdown'
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Real Estate:

81,312 homes lost to foreclosure in September
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Foreclosure Filings Rose 71% in Third Quarter as Prices Fell
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Home Prices to Fall Another 10 Percent: Fitch
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Mortgage Applications Reach 8-Year Low
(DBN Subscription Required)

After the House Is Gone
(NYT: separate free registration required)

U.S. Weighs Plans to Help Borrowers
(WSJ: separate paid subscription required)

Sights on FDIC's Bair to Lead Foreclosure Mitigation Efforts
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Architectural billings plummet - and with them, hopes for a rebound in commercial construction
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Home builders Ryland, Pulte report losses on housing weakness
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2 banks sue West Valley developer
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Harbour Walk banks on sale
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How Homebuilders Are Surviving Deleveraging
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Lien on me: How one high rolling firm's troubles trickle down
(DBN Subscription Required)

$71 Million in Foreclosure Assistance for Nevada
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Seized homes soar in Mass.
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Albany area foreclosures up 138%
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E-Loan Gives Employees Notice, To Cease Operations
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Purchaser of Mortgage Lacks Standing to Seek Relief From Bankruptcy Stay to Foreclose Where It Lacks Evidence of Transfers of Mortgage
(DBN Subscription Required)

Judge to mortgage thief: Armed robbers have more integrity
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Sovereign Debt:

Argentina just one of many countries that may go bust
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Developing Nation Debt Costs Soar as Belarus Joins IMF Requests
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How the IMF works and why countries are lining up
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Gambling:

Consolidation in the Gaming Industry During the Economic Downturn
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Oil/Gas:

Crude Oil Falls to 15-Month Low on Weakening Demand for Fuels
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OPEC faces 'uphill battle' as oil prices plummet
(DBN Subscription Required)

OPEC Faces Worsening Price Drop as Emerging Market Growth Slips
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Kivisto: Bonus before the fall
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SemGroup 'insiders' paid more than $500 million before collapse
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Millions paid to SG 'insiders'
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Tech:

Scary Days Ahead For Tech Industry
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Rating Agencies:

Rating Agencies Draw Fire on Capitol Hill
(NYT: separate free registration required)

ABC News Credit-Rating Companies `Sold Our Soul' for Pay, Employees Said
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Lawmakers blast credit rating agencies
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Moody's, S&P Employees Doubted Ratings, E-Mails Say
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Finance:

Libor's Drop Slows as Lending Concern Intensifies Amid Squeeze
(DBN Subscription Required)

Credit easing but cost of debt remains expensive
(DBN Subscription Required)

Short-Term Borrowing Rates Fall to Four-Year Low on Fed Efforts
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Investors cling tightly to their T-bills
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Books:

Deborah Fletcher Co-Authors Bankruptcy Handbook for Lenders
(DBN Subscription Required)

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Radio:

WorldSpace, Inc. Gains Access to $2M in Interim DIP Financing
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Insider Compensation:

Another Insane Wall Street Pay Story
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Aviation:

Business travel costs will rise in 2009
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Economic troubles hit air traffic
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Alitalia passenger numbers down 28 pct in Sept
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European airlines: slowdown is reducing passengers
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Private jet operator EBJ to file for administration
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Banking:

Bank threats spread to 11 states
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Another deal from hell
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Wells chairman expects faster recovery
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Weill Looks to Profit From Bank Tumult
(WSJ: separate paid subscription required)

SunTrust Net Income Falls 25% on Higher Loan Losses
(DBN Subscription Required)

Regions Financial Must Think We're All Stoned
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Credit Suisse makes $1.1 billion loss in 3Q
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Claims Trading:

Debtor can buy creditors' claims - No harm in claims trading by debtor
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Retailing:

Luxury and Comfort Products May Face Bleak Future
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Brookstone loses $10.4m in quarter
(DBN Subscription Required)

Christmas Shopping: Will Sales Be as Low as Consumers Predict?
(NYT: separate free registration required)

Amazon Tempers Holiday Sales Outlook
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Layaway Is Making a Comeback
(WSJ: separate paid subscription required)

Strong Sales Help Lift RadioShack Net 8.4%
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Credit Cards:

Credit Card Losses May Scale New Peak
(WSJ: separate paid subscription required)

Banks marketing debt in questionable times
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Card defaults hurt top issuer
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Trucking:

Gainey OKd to use its cash during bankruptcy
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Bankruptcy Litigation:

Tougher sues former owners for $3.6M
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Bonds:

Bond insurers seek injection
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Company Bond Risk Surges to Record on Argentina Default Concern
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Bond Risk Rises to Record in Asia-Pacific on Recession Concern
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Hedge Funds:

Fortress' Last resort
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The Hedge Fund Contagion
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Hedge Funds' Steep Fall Sends Investors Fleeing
(NYT: separate free registration required)

Credit Crunch Rocks Bain
(WSJ: separate paid subscription required)

Selling Hedge-Fund Stakes
(WSJ: separate paid subscription required)

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Student Debt:

So, Kid, You Pay for College, Right?
(NYT: separate free registration required)

SLM Says Loan Originations Fell, Loss Provisions Rose
(DBN Subscription Required)

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Tax Havens:

The 'Tax Blacklist'
(NYT: separate free registration required)

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Art:

What Can the Art Market Tell Us About Our Economy?
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Salander-O'Reilly May Take Years to Sell Artworks
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Dennis Hopper, Arnault Browse FIAC as Galleries Fight for Sales
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Mail:

UPS Net Falls; Sees 'Significant Slowing' in Economy
(DBN Subscription Required)

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Bankruptcy Crimes:

Woman loses state insurance producer license as collateral consequence of bankruptcy fraud conviction
(DBN Subscription Required)

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Corporate Governance:

DE Supreme Court Upholds Limitations on Relief Due to Unclean Hands
(DBN Subscription Required)

Directors on board with say on pay, other shareholder causes
(DBN Subscription Required)

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Jewelry:

Diastar asset sale is approved
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Telecoms:

Silver Point Refinances Vonage
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Corporate Reform:

Insider trading cases brought by SEC hit all-time high
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New Bankruptcy Opinions
(No new opinions 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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Bankruptcy Reform:

Bill Delahunt calls for changes in bankruptcy court
(DBN Subscription Required)

Congress Reforms Bankruptcy Law :)
(DBN Subscription Required)

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DIP Financing:

Why the Feds Should Step Into Bankruptcy Loans
(DBN Subscription Required)

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Bankruptcy Prediction:

Bankruptcy's Buoyant Crystal Ball
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Insurance:

NY AG says AIG to freeze ex-CEO, exec payments
(DBN Subscription Required)

Allstate reports $923 million quarterly net loss
(DBN Subscription Required)

Life Insurance Cos. Real Estate Investments Take More Hits
(DBN Subscription Required)

Allstate, Prudential Suspend Share Buybacks as Investments Fall
(DBN Subscription Required)

Cuomo nudge tightens the lid on AIG bonuses
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AIG Pretty Much Giving Up
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Politics:

Business owners are so uptight about the economy that they are willing to cross party lines
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Barney Frank calls for moratorium on Wall Street's bonuses
(DBN Subscription Required)

McCain lambastes Bush years: 'We just let things get completely out of hand'
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Biden lashes out at corporate greed in Colo. stop
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Obama Outpaces McCain in Fundraising Among New York's Lawyers
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Obama-Pelosi-Reid Is Picture Markets Won't Like
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Pensions:

Stock losses take heavy toll on pension plans
(DBN Subscription Required)

Pension Insurer Lost Billions in Market
(NYT: separate free registration required)

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Celebs:

Defrauding celebrities
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Derivatives:

CDS traders asked to reduce risks
(DBN Subscription Required)

Practical Considerations For Contract Counterparties Regarding Recent Market Events
(DBN Subscription Required)

Credit Swaps Rise as Banks Seek Safety From Hedge Fund Losses
(DBN Subscription Required)

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Insider Compensation:

The Less Wealthy CEO Subscriber Content
(WSJ: separate paid subscription required)

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Layoffs:

Mass layoff events and initial claimants for unemployment insurance, October 2004 to September 2008, seasonally adjusted
(DBN Subscription Required)

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Defaults:

Finding the Weakest Links
(DBN Subscription Required)

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Mining:

ASARCO Terminates Purchase Contract with Sterlite
(DBN Subscription Required)

Copper Plunges Below $4000 for First Time Since November 2005
(DBN Subscription Required)

Anglo American Conducting Review of Projects, Costs
(DBN Subscription Required)

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Alternative Fuels:

Ethanol plants nothing but gasbags
(DBN Subscription Required)

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Avoidance Actions:

Four Steps to Protect Assets From Loss in Bankruptcy
(DBN Subscription Required)

Is Buying Bank Notes Preferential?
(DBN Subscription Required)

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UK:

London Bonus Expectations: What Hard Times?
(DBN Subscription Required)

How Iceland's Financial Meltdown Wound Up in British Soccer, Midfield
(WSJ: separate paid subscription required)

Landlords eye rescue deal for retailers
(DBN Subscription Required)

Funding 'must rise'on new deal for jobless
(DBN Subscription Required)

Home Retail swings to £437m loss
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U.K. Retail Sales Fell in September as Downturn Deepened
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Rise in credit card spending
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One in four big companies pays zero corporation tax
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Lender warns profits will be wiped out
(DBN Subscription Required)

Toxic corporate CDOs may touch $1 trillion
(DBN Subscription Required)

After all the pledges about curbing bonuses, Northern Rock staff are given ý50m
(DBN Subscription Required)

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EU:

The bail-out threat
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EU Presses for Financial Overhaul, Cites Imbalances
(DBN Subscription Required)

Top German economist pleas for free market
(DBN Subscription Required)

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Isle of Man:

Bond fears over Manx protection
(DBN Subscription Required)

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Iceland:

Near Bankruptcy Draws Bargain-Hunting Tourists to Iceland
(DBN Subscription Required)

Iceland pulls back from edge in $6bn bail-out
(DBN Subscription Required)

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Argentina:

Argentina pension takeover plan seen passing Congress
(DBN Subscription Required)

Argentine Congress Will Seek Changes in Pension Plans
(DBN Subscription Required)

Evita's having a bad hairday
(DBN Subscription Required)

Argentina Stocks Tumble on Concern Pension Grab to Spur `Chaos'
(DBN Subscription Required)

Argentina Fallout Over Pension Plan
(WSJ: separate paid subscription required)

Argentines Decry State's `Disastrous' Record as Pensions Seized
(DBN Subscription Required)

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Pakistan:

Pakistan asks for emergency IMF funds to stave off bankruptcy
(DBN Subscription Required)

US turns down plea for bailout from Pakistan
(DBN Subscription Required)

Pakistan Must Stabilize Reserves to Avoid Rating Cut, S&P Says
(DBN Subscription Required)

Pakistan in crisis
(DBN Subscription Required)

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Germany:

German banks in legal, financial trouble
(DBN Subscription Required)

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Belarus:

Belarus Asks IMF for Credit Line as Economy Falters
(DBN Subscription Required)

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Mexico:

Mexican banks confident of government guarantees
(DBN Subscription Required)

Mexico attacks 'unethical' derivative selling
(DBN Subscription Required)

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Poland:

Poland accepts EU salvage plan for debt-mired shipyards
(DBN Subscription Required)

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China:

China, an Engine of Growth, Faces a Global Slump
(NYT: separate free registration required)

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Baltic Countries:

Baltic countries at risk of national bankruptcy
(DBN Subscription Required)

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Kazakhstan:

Kazakh banks' credit standing threatened by liquidity issues
(DBN Subscription Required)

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Japan:

Japan Stocks Plunge to 5-Year Low
(DBN Subscription Required)

Japan Exports Rise Less Than Expected as Financial Woes Deepen
(DBN Subscription Required)

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Australia:

Australia Stocks Decline
(DBN Subscription Required)

National Australia Bank Reports Bad Debt Woes
(DBN Subscription Required)

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Hong Kong:

Citic Pacific badly scarred by its currency speculation
(DBN Subscription Required)

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Ukraine:

Kyiv leaders locked in trash-talking as economy unravels
(DBN Subscription Required)

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Hungary:

Lean Times, Tough Steps In Hungary
(WSJ: separate paid subscription required)

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India:

Indian Stocks Fall to Two-Year Low
(DBN Subscription Required)

India's Economy May Slow More Than Earlier Forecast
(DBN Subscription Required)

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Canada:

Canada to Announce Further Steps to Help Banks
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Italy:

Parmalat left bruised after Citi's $364m court victory
(DBN Subscription Required)

UniCredit Falls to 11-Year Low as Analysts Question Capital
(DBN Subscription Required)

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France:

French Business Confidence Drops to 15-Year Low
(DBN Subscription Required)

Sarkozy to Create Fund to Defend French Companies
(DBN Subscription Required)

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New Zealand:

New Zealand Cuts Key Rate By 100 Basis Points to 6.5%
(DBN Subscription Required)

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New Zealand:

Sweden Cuts Key Rate by Half a Point, Hints at Further Easing
(DBN Subscription Required)

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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).