 | | Featured Premium Content | | | | | WSJ Pro Bankruptcy: Michaels Gets a Lifeline From Demise of Rivals and Pause on Tariffs
Crafts retailer Michaels has gotten a new lifeline thanks to the recent demise of Party City and Joann after President Trump’s tariffs had threatened the company’s future just months ago, WSJ Pro Bankruptcy reported. The development marks a turnaround in Michaels’s fortunes in April when the company started working with restructuring advisers from consulting firm FTI, investment bank Moelis and law firm Paul Weiss Rifkind Wharton & Garrison after the Trump administration raised tariffs on Chinese imports to 145%. READ MORE | | | | | SPONSORED CONTENTDefault Rate May Not Tell the Whole StoryThe expected increase in loan defaults in 2024 never materialized. But while corporate credit health appears strong on the surface, there are signs of potential weakness underneath. This article examines current trends to help you stay informed about silent loan defaults, private credit default trends, impacts on maturities, and more. DOWNLOAD THE ARTICLE | | ABI@NCBJ
ABI is honored to be hosting a reception at 4:30 p.m. on Thursday, Sept. 18, 2025, at NCBJ in Chicago, as well as educational sessions on Friday, Sept. 19. To register for the conference, please click here. At NCBJ, ABI also will be handing out the 2025 Judge William L. Norton Jr. Judicial Excellence Award. Nominations for that award will be accepted until July 15, 2025, and can be submitted at arin.berkson@thomsonreuters.com. | | |  | | Editor's Picks | | | | | Swiss Solar Panel Maker Meyer Burger Files for U.S. Chapter 11 Protection
Swiss company Meyer Burger has filed for voluntary chapter 11 bankruptcy relief in the United States, the solar panel manufacturer said in a court filing yesterday, Reuters reported. Meyer Burger's operations in both Europe and the United States have struggled to compete with cheaper products imported from Asia, piling pressure on the company. READ MORE | | Saks in Talks to Get $600 Million of Fresh Debt From Bondholders
Saks Global Enterprises is negotiating with bondholders to secure up to $600 million in new financing, replacing a previously announced third-party loan, Bloomberg News reported. The luxury retailer’s discussions are in advanced stages but have not been finalized. Saks plans to make its June 30 bond coupon payment of approximately $120 million on time. This represents the first coupon payment due on the bonds. READ MORE | | City in Washington State Files for Chapter 9 over $26 Million Development Dispute
The city of Cle Elum, Wash., filed for chapter 9 bankruptcy on Tuesday, citing a nearly $26 million debt stemming from a years-old development dispute, King5.com reported. City council members voted unanimously on Monday night to move forward with bankruptcy proceedings. The debt follows a November ruling by a King County judge, who found the city liable for more than $22 million in damages to developer City Heights Holdings LLC. With a 12% annual interest rate, that figure has grown to nearly $26 million. READ MORE
MORE NEWS BELOW | | | | |  | | Upcoming Events | | | | | ABI Northeast Bankruptcy Conference & Consumer ForumOmni Mt. Washington Resort
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August 25-27 | Santa Barbara, Calif. | | | | |  | | Daily Roundup | | | | | Georgia Student Housing Operator Files for Bankruptcy
A student housing operator in Georgia filed for bankruptcy after defaulting on roughly $520 million in municipal bonds as it struggled with rising costs and declining revenue, WSJ Pro Bankruptcy reported. Corvias Campus Living-USG, a Georgia unit of military and student housing operator Corvias, said bankruptcy was necessary to keep bondholders from sweeping funds from its bank accounts, according to court papers filed Wednesday with the U.S. Bankruptcy Court in Wilmington, Del. READ MORE | | Fed Advances Plan to Ease Bank Leverage Requirements
The Federal Reserve unveiled a proposal on Wednesday that would overhaul how much capital large global banks must hold against relatively low-risk assets, as part of a bid to boost participation in U.S. Treasury markets, Reuters reported. That plan, which the Fed voted to advance by a vote of 5-2, is the first step in what could be several deregulatory initiatives helmed by the Fed's new top regulatory official, Vice Chair for Supervision Michelle Bowman. READ MORE | | New Home Sales Fall to Seven-Month Low in May; Supply Increases
Sales of new U.S. single-family homes fell by the most in nearly three years in May as high mortgage rates and rising economic uncertainty sapped demand, lifting the supply of unsold houses on the market to the highest level since late 2007, Reuters reported. The larger-than-expected decline in sales reported by the Commerce Department yesterday added to weak homebuilding and tepid sales of previously owned homes last month in suggesting that housing would subtract from gross domestic product in the second quarter after being neutral in the January-March quarter. READ MORE | | Regulator Orders Fannie, Freddie to Consider Crypto Holdings in Loan Assessments
The regulator overseeing Fannie Mae and Freddie Mac yesterday ordered the housing giants to consider cryptocurrency as an asset for single-family mortgage loan risk assessments, a move that could potentially open the door to borrowers using crypto investments to qualify for home loans, Reuters reported. William Pulte, the director of the Federal Housing Finance Agency, said in a social media post that he had ordered Fannie and Freddie to "prepare their businesses to count cryptocurrency as an asset for mortgage," which he said would be in line with President Donald Trump's vision of making the U.S. "the crypto capital of the world." READ MORE | | | | |
