Business Bankruptcy News Bulletin Summary for Week of July 5

The items below are excerpted from the Business Bankruptcy News Bulletin. A full issue contains information on dozens of troubled companies, as well as informational and analysis highlights. Please visit the insideARM bookstore for information on subscribing to the Bulletin.

Evaluating Unsecured Claims In a Bankruptcy Filing

In many bankruptcy cases, evaluating general unsecured claims can be better managed when those claims are categorized and reconciled by type. The four most common types are 1) trade claims, 2) litigation claims, 3) unsecured debtor claims, and 4) executory contract rejection claims. Reconciling each of these individual categories along with many others can also be time-consuming, but at least the process can become more manageable.

BANKRUPT COMPANIES

Arrow Air Inc., Miami, Fl., filed Chapter 11 in the U.S. Bankruptcy Court for the Southern District of Florida. The firm listed assets of between $10 million and $50 million and liabilities of between $100 million and $500 million. The filing was under case number 10-28831. Also filing was Arrow Air Holdings Corp. under case number 10-28834.  For more information contact the court at 800-473-0226.

Connector 2000 Association Inc., a toll highway in South Carolina, filed Chapter 9 in the U.S. Bankruptcy Court in Spartanburg, S.C. The case number is 10-04467. The entity reportedly has more than $200 million in bonds outstanding.

Jim-Mar Consultants Inc., Deer Park, N.Y., filed Chapter 11 in the U.S. Bankruptcy Court for the Eastern District of New York. The firm listed assets and liabilities of between $1 million and $10 million each. The filing was under case number 10-75120. For more information contact the court at 347-394-1799.

Lake Las Vegas Resort LLC won approval from the U.S. Bankruptcy Court for its reorganization plan. The plans calls for access to $29 million in financing for operations and a $10 million loan that will allow it to complete a water-pumping station. Pending several minor legal issues, the firm should be able to emerge from court protection in the next several weeks.

Lehman Brothers Holdings Inc., the investment bank that filed Chapter 11 during the credit meltdown two years ago, has reportedly paid out $830 million to attorneys and managers during its winddown. The big winner so far is Alvarez & Marsal LLC, which has collected just shy of $300 million during the reorganization.

TierOne, a bank holding company, filed Chapter 7 in the U.S. Bankruptcy Court for Nebraska. The case number is 10-41974. Earlier the Federal Deposit Insurance Corp. had been appointed as TierOne’s receiver. For more information contact the court at 800-829-0112.