At least two major companies have either filed for Chapter 11 bankruptcy protection or defaulted on loans during the week of February 22 – February 26, 2021. These filings and defaults caused credit issuers to lower ratings for one of the two companies. For the second week in a row, all defaults have been within the Consumer Discretionary sector.
Sources: Moody's, Bloomberg
The Williamsburg Hotel in Brooklyn, NY filed for Chapter 11 bankruptcy. The hotel is the latest turmoil faced by the hospitality industry. The company listed its assets and liabilities ranging from $50 to $100 million in a Chapter 11 petition filed in White Plains. The Williamsburg Hotel is owned by 96 Wythe Acquisition LLC, and backed by Heritage Equity Partners. The hotel’s largest creditor is Be...