💥Statute on Statute Violence💥

Petersen Health Care brings the heat, JOANN finally files, Skillz/Selina/Petmate Updates + much more.

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👍 Winners of the Week 👍

1. Restructuring Professionals?!? Last week S&P Global Ratings (“S&P”) issued a report showing that the overall YTD pace of global defaults has reached a level not seen since ‘09 with 29 defaults (including 17 in the US and eight in Europe). As far as the US is concerned, S&P highlighted that (i) it’s consumer-facing industries that are struggling the most in the US (e.g., healthcare, media & entertainment, consumer products, and retail), (ii) duh, “[d]istressed exchanges have become a regular part of the corporate credit landscape as more entities use them to manage their debt load and avoid traditional bankruptcy. This may lead to repeat defaulters…,” (iii) duuuuh, the maturity wall is getting kicked out of ‘25, and (iv) it expects the speculative-grade default rate to rise to 4.75% by December ‘24 (which is down from S&P’s prior projection of 5% by September ‘24). In other words, as evidenced by Petmate this week, there’s a lot of defaults getting handled out-of-court or via LME deals (though, take a deep sniff, and you just may get a whiff of some more in-court activity brewing, especially on the heels of the Enviva Inc., JOANN Inc., and SC Healthcare Holding LLC-Petersen-Health filings).