WSJ: Europe Builds Own Chapter 11
The Wall Street Journal reported that with the number of distressed businesses in Europe soaring, the continent’s bankruptcy laws are getting an extreme makeover. And the model for European lawmakers is Chapter 11 of the U.S. Bankruptcy Code.
The Journal notes that many countries have revamped their laws and are importing elements of Chapter 11 previously unheard of in Europe: fresh financing, “cram downs” of debt restructuring on reluctant creditors, and debt-to-equity swaps that could open the door to new investors.
To read the entire Wall Street Journal Story, click here.