At least six new companies have either filed for Chapter 11 bankruptcy protection or defaulted on loans during the week of August 3 – August 7, 2020. These filings and defaults caused credit issuers to lower ratings for five companies. The Energy sector saw the majority of defaults during this week.
Sources: S&P, Moody’s, TBT, Washington Post
Lord & Taylor, one of the nation’s oldest department store chains, filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the Eastern District in Virginia. Last year, Lord & Taylor was sold to a French rental clothing company, Le Tote. Lord & Taylor and Le Tote are now both seeking Chapter 11 protection. On August 3, Lord & Taylor acquired permission from court to close 38 locations.