BUSINESS FAILURES – UNITED STATES

First Brands and Tricolor’s collapses are signs of what’s to come

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Original article by Paul J. Davies
The Australian Financial Review – Page: Online : 1-Oct-25

US-based automobile loan specialist Tricolor Holdings recently filed for bankruptcy liquidation amid fraud allegations. Tricolor focused on subprime, often undocumented borrowers, and its collapses raises questions about the financial pressures on lower-income households and the economic impact of the Trump administration’s deportation drive. Meanwhile, car-parts supplier First Brands Group has filed for chapter 11 bankruptcy protection. First Brands is a privately-owned business that was built via debt-funded acquisitions and undermined by further borrowing secured against inventory and payments due from customers. Its collapse could turn out to be a ‘canary in the coal mine’ for aggressively leveraged buyouts and private credit lenders, especially in sectors where tariffs have resulted in big cost increases.

CORPORATES
TRICOLOR HOLDINGS, FIRST BRANDS GROUP

Chalmers eases fears: banks are safe

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Original article by Michael Read
The Australian Financial Review – Page: 9 : 15-Mar-23

Treasurer Jim Chalmers has downplayed concerns about the potential implications of Silicon Valley Bank’s collapse for Australian banks. He says the federal government, the Treasury and regulators are monitoring the situation and the potential impact on Australia’s financial system. Chalmers has emphasised that the nation’s banks are well-capitalised and have high levels of liquidity. The fallout from SVB’s collapse has prompted a global selldown of bank shares, while many investors now expect the Reserve Bank to leave the cash rate on hold in April.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY, SILICON VALLEY BANK, RESERVE BANK OF AUSTRALIA

Australian operations ‘not included’ in Peabody bankruptcy

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Original article by James Thomson, Peter Ker
The Australian Financial Review – Page: 17 : 14-Apr-16

The Minerals Council of Australia’s Greg Evans says the local operations of US-based Peabody Energy are unlikely to be affected by its move to seek bankruptcy protection. The debt-laden coal miner has stressed that its Australian business is not subject to the Chapter 11 filing. Peabody boasts debt of about $US6.bn (A$8.2bn), and it has been hard hit by the downturn in coal prices.

CORPORATES
PEABODY ENERGY CORPORATION, PEABODY ENERGY AUSTRALIA COAL PTY LTD, MINERALS COUNCIL OF AUSTRALIA, EXCEL COAL LIMITED, MACARTHUR COAL LIMITED, ARCH COAL INCORPORATED, AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE

Deja vu – Quiksilver collapse shines spotlight on Billabong

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Original article by Carrie LaFrenz, Sue Mitchell
The Australian Financial Review – Page: 17 & 23 : 10-Sep-15

The Australian operations of global surfwear group Quiksilver will not be affected by a move to place its US division into Chapter 11 bankruptcy protection. US-based Oaktree Capital will refinance the US division and will become Quiksilver’s largest shareholder. Oaktree also holds an 18.7 per cent stake in Australian-listed Billabong International, but Quiksilver president Greg Healy has ruled out a merger between the two companies.

CORPORATES
QUIKSILVER INCORPORATED, OAKTREE CAPITAL MANAGEMENT LLC, BILLABONG INTERNATIONAL LIMITED – ASX BBG, CENTERBRIDGE PARTNERS LP, AUSTRALIAN FOOTBALL LEAGUE, ROSSIGNOL, ROXY CLOTHING, DC SHOES INCORPORATED, NEW YORK STOCK EXCHANGE