Bankruptcy & Restructuring News Headlines for Thursday May 13, 2021

Here's what we are reading this morning:

Three Out of Four Gas Stations Are Dry in Some Southern Cities - Bloomberg: In Spartanburg, South Carolina, 78% of outlets were out of gasoline, while Pensacola, Florida, and Charlotte, North Carolina, had 73% and 71% outage rates, respectively, according to data from retail tracker GasBuddy.

Hertz Shareholder Payout Set to Swell On Winning Bankruptcy Bid - WSJ: Knighthead Capital Management and Certares Management emerged as winners in a bidding war that drove up the rental car company’s value.

Six Defaults in 13 Months Upend Latin America’s Bond Market: Sovereign bond defaults have piled up at a dizzying clip in Latin America since the pandemic began. First, it was Ecuador’s turn, then came Argentina, followed by Suriname, then Belize, then Suriname again and Suriname one more time.

Lordstown Motors Shares Plunge as Investors See Problems - The New York Times: Lordstown Motors said it would start producing and selling electric pickup trucks this year, but there is little evidence it is ready to do so. Its stock has tumbled from a high of about $30 last year to around $8.

Credit-Card Debt Keeps Falling. Banks Are On Edge. - WSJ: Americans are paying off their credit cards at the fastest rates in years. Banks are responding with generous card solicitations and looser underwriting standards.

Accordion Announces Strategic Acquisition of Turnaround and Restructuring Firm, Mackinac Partners: “We believe the need for experienced turnaround, restructuring, and interim management expertise is no longer as cyclical as it’s been in the past,” said Nick Leopard, Founder and CEO of Accordion.

Gasoline Shortages Across the U.S. East Are Creeping Northward - Bloomberg: Gasoline shortages across the U.S. South are expanding northward as antsy motorists race to fill up with the ongoing shutdown of North America’s largest petroleum pipeline threatening to leave the region without fuel for days.

Hildene Says High Consumer Default Rates ‘Unlikely’ in Short Term: Dushyant Mehra, co-chief investment officer at Hildene Capital Management, specializes in investments in debt backed by consumer loans and spoke to WSJ Pro Bankruptcy about how the market and U.S. consumer have fared during the Covid-19 pandemic.

U.S. Household Debt Increased in 1Q 2021 | ABI: Chart of Total Debt Balance and Composition

Citigroup fails to obtain longer freeze on botched Revlon transfer | Reuters: A federal judge on Wednesday rejected Citigroup Inc's request to extend a freeze on about $504 million it accidentally sent a group of Revlon Inc lenders, while it appeals his decision that they can keep the money.

Some employees say no amount of precautions will make the workplace feel safe, survey says: The survey's findings point to many Americans' lingering anxieties about the pandemic and challenges employers may face as they try to hire workers.

Colonial cyberattack raises a question: Can whole-system shutdowns be avoided? | S&P Global Market Intelligence: The oil and gas industry has for years advocated best practices for cybersecurity, but a ransomware attack still forced the closure of a major U.S. refined fuels pipeline system, exposing the need for new approaches.

Hertz Shareholders May Get $8 a Share, Showing Even Redditors Were Right - Bloomberg: During the depths of the pandemic, it wasn’t even clear that Hertz Global Holdings Inc. would be around today, renting out cars. It is, and the surprises don’t stop there.

How Much Liquidity Did the PPP Facility Pump into the Economy?: As of May 10, 2021 the Payroll Protection Program provided over 10 million PPP loans with a total value of $782 billion. From January 1, 2021 to May 10, 2021 the PPP provided 5.7 million loans with a total value of $260 billion. The first round PPP loans are moving through the forgiveness process. As of May 9, 2021, of the $521.2 billion dollar value of loans approved in 2020, 49% of the loans have been forgiven, 16% are under review, and 34% are awaiting forgiveness application.

Judge Says Revlon Lenders Can Access Citi’s Mistaken Loan Payment - WSJ: Lenders that received roughly $500 million from Citigroup last year due to a back-office blunder are allowed to use the money as they see fit, a federal judge ruled, unfreezing the funds.

Colonial Pipeline Restarts Operations After Cyberattack - WSJ: The owner of the primary fuel conduit for the East Coast said it would take several days for deliveries to get back to normal.

Current Reports (Form 8-K) Filed With the Securities & Exchange Commission (SEC) Regarding Triggering Events That Accelerate or Increase a Direct Financial Obligation (Item 2.04) for the Week Ended Wednesday May 12, 2021:

TiVo Corporation Agrees to Acquire MobiTV Assets From Chapter 11 Bankruptcy | Business Wire: TiVo Corporation was selected as the successful bidder at auction to acquire the assets of MobiTV, a global leader in application-based Pay TV video delivery solutions. The acquisition is in connection with MobiTV’s recently announced Chapter 11 bankruptcy process.

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