January 21, 2009

The Daily Bankruptcy News

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Law:

Attorneys for Heller Seek Approval of $3.48M for Legal Malpractice Insurance
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Weil Gotshal figures reveal slight revenue rise
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Wachtell Retained by Circuit City Liquidators
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NY Firm Scores Coup With Bankruptcy Hire
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Valukas Named to Investigate Lehman Creditors’ Claims
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SullCrom, Schulte in driving seat on Chrysler Fiat JV
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SonicBlue Bankruptcy Case Heads for Mediator
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Skadden Launches European Investigations Practice
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BigLaw Firm Axes 65 Staffers
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Firm asks 19 partners to leave as job cuts continue
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Staff Layoff Watch: A Roundup
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Bonus Watch: 'Mother (Hughes) Hubbard' Does Better Than Last Year
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Bonus Memos Hint at Firm Finances
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Lenders Gave Thacher One Week to Complete Sonnenschein Deal
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‘Bitterness and Anger’ Aimed at Thacher Managers Over Partner Losses
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Law Firm Layoffs Continue
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Dewey & LeBoeuf: Hip-Hop's New Home?
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Practical Law Company Sets Up Shop in NYC
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The Depression Is So Freaking Depressing
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Latest Layoffs: Skadden Staff Attorneys & 65 Akin Gump Staff, Among Others
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Lateral Moves May Begin to Boom
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For Many Law Firms, It’s ‘Eat or Be Eaten’
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U.S. Firm Sees China as an Escape from Economic Slowdown
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6th Circuit Tosses Fieger's Lawsuit Over Right to Criticize Judges
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Allen & Overy Tackles the Global Implications of State Insolvency
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Bracewell & Giuliani Snags Former US Attorney
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Allen & Overy Bans Senior Associate’s Racy Online Novel
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The Recession’s Latest Legal Casualty: IOLTA
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Law Firm Insurer Will Pay $6.2M to Settle Document Prep Suit
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U.K. Legal Jobs Disappearing Fast
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No Obama Jobs For Lawyers
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Obama Orders Halt to Legal Proceedings at Guantanamo
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Obama Turns Justice Department Into Mini-Law School
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Law Dean Says Schools ‘Exploiting’ Students Who Don’t Succeed
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Judges:

A Judge and His Son Undermine Arguments for Higher Judicial Pay
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Whoops. How does that Constitution go?
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Alabama AG on Massey: Don’t Federalize Recusal Rules
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Wall Street:

US Stock-Index Futures Rise
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World stock markets down as bank jitters mount
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Asia markets close sharply lower on financial fears
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Bank Worries Push Dow Below 8000
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US Stocks Slide in Dow Average’s Worst Inauguration Day Drop
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Investors Dump Shares As Banking Fears Mount
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So much for hope trumping fear – in the markets
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Goldman Forecasts Less S&P 500 Profit Than Wall Street Average
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Canadian Stocks Fall Most in 7 Weeks
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Japanese Stocks Decline on Bank Capital Concern
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Street Shuns Obama's Welcome
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S&P downgrades State Street, Jefferies
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Wall Street falls amid further banking worries
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Merrill Lynch Clients Pulled $10 Billion in Fourth Quarter
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BlackRock's 4Q profit plunges amid market turmoil
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Layoffs:

In 2009, Layoffs Is the Business to Be In
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9% unemployed in Oregon
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Rohm and Haas laying off 900 more
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Ericsson To Cut 5,000 Jobs
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Clear Channel Plans to Trim 1,850 Jobs
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Eaton to Cut 5,200 Jobs in a Second Wave of Worker Reductions
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Cerberus Said to Plan Job Cuts of About 10% Amid Buyout Freeze
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BofA may cut 4,000 jobs
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Warner Bros. to cut 800 jobs as Hollywood downsizes
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Job Fears Make Offices All Ears
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Employers Avoid Axing Oldies but Goodies
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Finance:

Will a Thaw in Credit End the Crisis?
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Newspapers:

New York Times falls on Slim's expensive loan
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The Times Buys Some Time, Newsday Mystery Deepens
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NY Times Financing Deal Brings Expensive, Temporary Relief
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Pioneer Press and Star Tribune link fingers
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Tribune’s Los Angeles Times to Cut More Jobs by March
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Tribune Bankruptcy Can't Stop Reporter From Covering Election
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Judge grants Star Tribune access to its funds
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Tribune CFO Makes Little News in Court
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Magazines:

Morale devastated at Newsweek, Time
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Advertising:

US Search Ad Spending Falls In 4Q Amid Economic Weakness
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Google to Stop Selling Print Advertising Next Month
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Packaging:

Bankruptcy judge puts brakes on sale of Chesapeake units
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Telecoms:

Nortel faces squeeze as key supplier pulls back
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Nortel blog buzzes off
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Media:

Charter hires advisers for possible bankruptcy filing
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Bankruptcy Crimes:

Pair of Los Angeles men convicted on filing false claims in Kansas
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Pensions:

PBGC premium boost
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Bankruptcy Prediction:

Are you a bankruptcy risk? Enigmatic score may tell lenders
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Sovereign Debt:

Emerging-Market Bonds Decline as Global Banking Crisis Spreads
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Turnarounds:

Businesses Cut Costs by Renegotiation
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Enron:

Skilling, Petrocelli Make Two More Pleas to the Fifth Circuit
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Consumer Debt:

Consumers Shift to Saving
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Households In All Income Ranges Denied Credit
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Trucking:

Missoula trucking company given more time in bankruptcy
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Michigan Trucking Company Sets Up a Roadblock for U.S. Trustee
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Bankruptcy Crimes:

Two convicted of filing fraudulent bankruptcy petitions in Kansas
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Chemicals:

US trustee names Lyondell creditors' committee
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Nova's bonds flash warning signs
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Food/Drink:

In Lean Times, McDonald's Only Gets Fatter
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Pecus ARG gains interim DIP
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Art:

Art Auction Prices May Fall 40% in 2009
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Tech:

Sumco Cuts Profit Forecast 44% on Slump in Demand
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Furniture:

Tusa-Expo looks to reject purchase orders
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Academia:

A Class on Bailouts
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Executive Compensation:

Son of SarbOx? Bailout CEOs must certify exec comp curb compliance
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Economy:

Much of Stimulus Won’t Be Spent Before 2011, CBO Says
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Obama Team Pushes to Complete Rescue as Stocks Plunge
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Treasury Demands Banks With TARP Funds Report Lending
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Obama Links Economy, Change
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Obama Will Get One Shot at New Financial System
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Welcome to Washington, President Obama. Now fix Wall Street, where none of the options are pretty
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President Obama Pledges a Remade America
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Bush Foes Respond to Obama’s ‘New Start’ Appeal With Skepticism
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President Obama Urges Unity Amid 'Raging Storms' of War and Recession
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Rates: When Zero Is Too High
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The Scariest Chart Ever
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Bailout saddles taxpayers with more bad debt
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Finance Coalition Touts Private Stimulus
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A $17 Trillion Alliance Can Save World Economies
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More aid for B of A, Citigroup?
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Rudd to Take ‘Whatever Action Necessary’ to Stabilize Markets
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Geithner Faces Senate on Taxes, Economy Rescue Plans
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The Foreign Invasion Is On
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Preventing the Greatest Heist in History
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Recession? Not for These Businesses
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Gold Rises as Bailouts Spur Speculation Recession Will Deepen
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Real Estate:

An Emerging Battle Over Foreclosure Prevention
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Protesters in San Francisco demand more credit
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The Nation's 20 Worst Housing Markets
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Wall Homes, Texas Builder, Files for Bankruptcy
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Extreme Makeover: Bankruptcy
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Wall Homes to seek use of cash
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Pressure Mounts for Home-Loan Banks
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Brass Brick Homes files for bankruptcy protection
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H20 Development battles foreclosure
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Greenwich Home Prices Decline Most in Three Decades
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Builders Predict More Housing Pain
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National Association of Home Builders: Cumulative Price Fall to Exceed 45% in 2009
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Loan Modifications Don't Work: Here's a Better Idea
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Proposal to settle USA Capital case rejected by judge
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Hancock at Center of 'Tranche Warfare'
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Commercial-mortgage woes rippling CMBS lake
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Lehman:

Chairman of Jenner & Block named to investigate Lehman bankruptcy
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Autos:

Chrysler-Fiat Deal Needs U.S. Loans
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Fiat alliance aims to bolster Chrysler aid bid
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Fiat Won't Be Chrysler's Savior
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Alliance With Fiat Gives Chrysler Another Partner and Lifeline
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Chrysler: All Roads Lead To Turin
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Fiat Pays No Cash for Chrysler Stake
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Alliance means dealers for Fiat, cars for Chrysler
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Fiat and Chrysler Partner Up 20 Years After They Started Talking
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Chrysler-Fiat may be little carmaker that could survive
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Nardelli’s Letter to Chrysler Stakeholders on Fiat Agreement
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Workers hail Chrysler-Fiat deal
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Ford, Chrysler Say Bank Aid for Leasing to Lift Sales
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GM expects delayed funds to avoid cash crisis
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Pimco Quits GM Bondholder Group After Reneging on GMAC Deal
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Clock is ticking for GM and Chrysler
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Supplier expects Checker will survive bankruptcy
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Auto suppliers want bailout cash
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Dura CEO warns of supplier collapse
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Toyota Poised to Take Biggest-Automaker Title From GM
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VW Turns to Individuals for Bond Sales as Institutions Flee
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Volkswagen, BMW Scale Back Hours for 86,000 Workers
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Toyota, Honda May Report Losses While Hyundai's Profit May Rise
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Mazda Seeks Government Aid to Help Pay Workers
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French Auto Bosses Nudged to Renounce Bonuses
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Oil/Gas:

Oil Falls on Concern Economic Contraction May Limit Demand
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Big West refinery reports flaring -filing
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Flying J names new chief executive
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Oil patch slowdown means more bankruptcies
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Suncor Reports Quarterly Loss on Tumbling Oil Prices
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Insurance:

Mortgage Insurer MGIC Looks For Capital Relief
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Greenberg Says He May Sit Out Auction of AIG Units
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D&O Insurance: Are Subpoenas "Claims"?
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Identity Theft:

Cyberthieves Access Credit-Card Data
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Company's breach may be largest ever
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Distressed Investing:

J&J Readies List of Recession Buyouts
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Serious Materials Shopping for Acquisitions in Bankruptcy Court
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Fund managers cautious on distressed investing
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Aviation:

Frontier outlines post- bankruptcy hopes
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Sale of Eclipse Aviation's assets gets court approval
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Business-Jet Market Faces Recession-Based Challenges
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Festivals:

TodiMusicFest in Portsmouth files for bankruptcy
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Fraud:

Only a small recovery for Madoff investors likely
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Madoff Trustee Picard May Take Five Years to Pay Back Investors
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List Of Entities Announcing Exposure To Madoff Investments
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Madoff Scandal Forces 16 Luxembourg Funds to Halt Redemptions
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Madoff Scandal May Lead to New Rules on Adviser Accountability
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Bernie Madoff Ruined The Inauguration For P.E.T.A
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Bernie Madoff's Favor for an Old Friend
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Billionaire Olenicoff Adds Racketeering, Kurer to UBS Complaint
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Philadelphia Fund Manager Forte Charged With Fraud
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It's Always the Quiet Ones
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Newsletter touted missing money manager as US No.1
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Did He Jump Out Of The Plane FOR Her Or Because Of Her?
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Third Former Home Depot Executive Pleads Guilty to Fraud
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Investors in $32.6M Ponzi Scheme Win Only Camaraderie; Bank Not Liable
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Mining:

State of mining is bad, but it could get worse
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Asarco to get $1 million more over sale of Rosemont site
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BHP May Take $1.6 Billion Charge After Suspending Nickel Mine
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Rio Tinto to Cut 6% of Aluminum Output, 1,100 Workers
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Shipping:

'Bankrupt' ship stranded in Chennai
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Credit Counseling:

Atlantans flock to credit counselors
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Health Care:

Sunwest sheds 45 sites and its founder
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Hedge Funds:

Deutsche Bank Says Had No Losses on Two Hedge Funds
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Deutsche Bank’s US Hedge Funds Lose More Than 40%, SZ Says
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Accounting:

Partner profits plunge at Grant Thornton
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Audit standard watchdog issues 'going concern' guidance
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Lots Is More Important than Fair Value
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Defaults:

Eight corporate defaults in first two weeks of year
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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:

Homeowner ‘Cramdown’ Legislation Opposed By Obama
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Obama White House Position on Bankruptcy Laws
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A Kinder Bankruptcy Law Is Sought as Filings Soar
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Banking:

As Bank Crisis Deepens, Obama Has No Quick Fix
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"The U.S. Banking System Is Effectively Insolvent"
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Bank Stocks: The Trouble with TARP
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Regions Shares Plunge on $6.24 Billion Quarterly Loss
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PNC Plunges Most in Almost Three Decades on S&P Cut, Writedowns
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Bank of New York quarterly net income falls 88%
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BNY Mellon Net Income Drops 95%
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How BNY Mellon's Legal Team Weathered the Financial Meltdown
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State Street Tumbles, Pulls Down Bank Of New York
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Does State Street need bailout too?
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Fulton Financial loses $102M in 4Q
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Citi sinks below $3
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Allegations of IndyMac's "Backdating": Worse Than We Thought?
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Bank of America shares tumble, analyst cuts rating
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Bank of America: How to Lose $20 Billion of Value in 2 Trading Days
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Bank of America needs $80 billion, according to FBR analyst
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Defaults, bank failures pick up where they left off in '08
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Survey results: the financial crisis according to bankers
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Bankruptcy Statistics:

Bankruptcies increase 40 percent in WA in 2008
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Utah bankruptcy filings climb 47%
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Private Equity:

A PE Warning: ‘One Third’ of Mid-Market LBOs Set for Receivership
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Alternative Energy:

VeraSun says 12 of 16 ethanol plants are shut
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Retailing:

Customers steamed at liquidation sale
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Where You Won't Shop In 2009
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Ghost Malls: Coming to Your Town
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Gambling:

Trump's casino firms hoping to avoid bankruptcy
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Tropicana to freeze top salaries, may lay off 117 dealers
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Hockey:

Future of the NHL could rest in Europe
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Apparel:

Barack Obama's suitmaker faces credit crunch
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Municipalities:

Arizona near bankruptcy
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UK:

King Says BOE Asset Buying May Start Soon as Rate Effects Wane
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U.K. Loan Plan to Be Tough to Implement
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UK faces 'possibility of national bankruptcy'
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Barclays Falls Seventh Day on Nationalization Fears
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Nationalization Magnus Opus
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Pound Tumbles as UK Bank Plan Fuels Concern Crisis Deepening
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UK unemployment hits 1.92 million
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E&Y predicts 3.4m to become unemployed
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UK film industry braced for credit crunch
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Bail-out part II: Millions of private shareholders could see stakes wiped out
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UK women forced to repay loans with sex
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Bank of England governor paves way for 'quantitative easing'
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Required)

Standard Life cash fund was invested in toxic mortgages
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Four Seasons Health Gets More Time to Rework Defaulted Loans
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KPMG picks up two big insolvencies
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EU:

ECB's Trichet: Banks Must Finance Economy
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Germany:

German bank to get new 12 billion euro guarantee
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German Forecast Is Bleak
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German Economy to Shrink Most Since 1949 on Exports
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S. Korea:

South Korea's Economy Probably Shrank for 1st Time in 10 Years
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Japan:

Failed Yamato Life sets bid date
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Japan’s ‘Severe’ Recession May Last Three Years
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Japan Steel Output Tumbles by Most in 60 Years
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Japan’s Power Sales Drop Most Since 1972 on Recession
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Japan’s Longer-Term Bonds Fall on Concern Debt Sales Will Rise
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Ireland:

Ireland’s Beleaguered Banks Sink With Decline of ‘Celtic Tiger’
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Are we about to see a run on Irish banks?
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Irish Developer Rocca Is Dead in Apparent Suicide, Police Say
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Canada:

As Expected, Canada Cuts Key Rate to 1%
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Canadian Banks Match Central Bank Rate Cut
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Canada Factory Sales Fall 6.4% in Record Monthly Drop
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Zoom's 'never say die' co-founder brought down to Earth - again
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It's the law of the jungle for creditors
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Singapore:

Singapore Economy May Post Biggest Decline on Record
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Singapore sees downturn worsening
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Australia:

Australian Consumer Sentiment Falls on Recession Fear
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David Jones Shares Slump After Profit Growth Forecast Reduced
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BHP Billiton to Shed 6,000 Jobs
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Australia Extends Ban on Short Selling of Financial Companies
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Malaysia:

Malaysia May Lower Rate Second Time Running as Inflation Cools
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Brazil:

Brazil Stocks Drop on Economic Growth Concerns; Bolsa Tumbles
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India:

Satyam May Hire Adviser for Rescue as SEC Joins Probe
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Pro Forma Distractions at Satyam
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The Satyam mess and Sarbanes-Oxley
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As rivals fly lazy circles above, Satyam tries to keep its customers
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Ukraine:

Ukraine economic concerns grow
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France:

SocGen Broke Even in Fourth Quarter, Gets French Aid
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French Banks to Get EU10.5 Billion, Scrap Bonuses
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France taps US investors for funds
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Switzerland:

Son of Parmalat founder on trial
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South Africa:

South African Retail Sales Fell for Seventh Month
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China:

China Life Warns 2008 Profit May Drop 50 Percent
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China Shares Down on Dismal Earnings Forecasts
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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).