Daily News: August 8, 2012

Healthcare, Medical Bankruptcies Surpass Other Industries YTD


Corporate bankruptcy researcher BankruptcyData.com released YTD statistics, indicating that healthcare and medical bankruptcies continue to surpass other industries. This is an extension of the same trend seen in 2011. Out of the total 48 public company bankruptcy petitions filed from January 1 through August 6, 2012, seven of those heralded from within the healthcare and medical sector. Four of these seven were filed under Chapter 7 and will liquidate rather than reorganize. More striking is the fact that five of the past ten-and four of the past five-public bankruptcies are healthcare and medical-based enterprises.

2012 Healthcare and Medical Industry Bankruptcies (through 8/6/12), listed by company, bankruptcy date, assets and description, are:

  • AcuNetx, Inc., 08/01/12, $434,046, Diagnostic & Surgical Products

  • Curaxis Pharmaceutical Corporation, 07/30/12, $658,000, Pharmaceutical Preparations

  • Genta Inc., 08/03/12, $14,497,000, Biopharmaceutical Company

  • K-V Pharmaceutical Company, 08/04/12, $253,400,000, Pharmaceutical Marketing

  • Neogenix Oncology, Inc., 07/23/12, $6,341,626, Clinical Stage Biotechnology

  • Neurologix, Inc., 03/16/12, $9,677,000, Development Stage Pharmaceuticals

  • Valiant Health Care, Inc., 01/03/12, $3,002,547, Home Healthcare

    Other dominant sector representations include telecommunications and electronics with respective counts of five and four bankruptcies. The aviation, banking and finance, energy and oil and gas industries reported three Chapter 7/Chapter 11 filings each.

    2012’s current healthcare and medical industry domination continues from FY 2011, which saw 11 of the total 86 public bankruptcies coming from this sector. Telecommunications and energy industries held respective second and third-place titles last year. The industry-wide YTD 2012 (through 8/6) public filing count of 48 bankruptcies is a close match up to 2011’s same date total of 51. However, 2012’s asset figure has more than tripled last year’s-skyrocketing from just $13 billion to $41 billion in YTD calculations.

    The 20 Largest Bankruptcies of 2012 (through 8/6), listed by company, bankruptcy date, assets and description, are:

  • Residential Capital, LLC, 05/14/12, $15,675,571,000, Real Estate Finance Company

  • Eastman Kodak Company, 01/19/12, $6,239,000,000, Provides Imaging Technology Products

  • Patriot Coal Corporation, 07/09/12, $3,776,544,000, Coal Producer & Marketer

  • Hawker Beechcraft Acquisition Co., LLC, 05/03/12, $2,778,300,000, Aircraft Manufacturing

  • Houghton Mifflin Harcourt Publishing Co., 05/21/12, $2,680,000,000, Book Publisher

  • United Western Bancorp, Inc., 03/02/12, $2,526,172,000, Unitary Thrift Holding Company

  • Pinnacle Airlines Corp., 04/01/12, $1,498,798,000, Regional Airline

  • Global Aviation Holdings Inc., 02/05/12, $690,304,000, Passenger & Cargo Air Transport

  • TBS International plc, 02/06/12, $686,321,000, Ocean Transportation Services Co.

  • FiberTower Corporation, 07/17/12, $558,470,000, Telecommunications Provider

  • Reddy Ice Holdings, Inc., 04/12/12, $434,029,000, Mfgs. & Distributes Packaged Ice

  • Ener1, Inc., 01/26/12, $396,544,000, Rechargeable Batteries

  • Energy Conversion Devices, Inc., 02/14/12, $388,478,000, Flexible Laminate Mfg.

  • Buffets Restaurants Holdings, Inc., 01/18/12, $384,810,974, Restaurant Chains

  • Trident Microsystems, Inc., 01/04/12, $370,941,000, Provides Semiconductor Solutions

  • Grubb & Ellis Company, 02/20/12, $286,946,000, Commercial R.E. Services

  • Circus and Eldorado Joint Venture, 05/17/12, $264,139,000, Hotel & Gaming Operator

  • LSP Energy Limited Partnership, 02/10/12, $259,276,540, Electric Generation Facility

  • K-V Pharmaceutical Company, 08/04/12, $253,400,000, Pharmaceutical Marketing Company

  • Northstar Aerospace (USA), Inc., 06/14/12, $165,096,000, Manufactures Gears & Transmissions