Creditor Corner

The ultimate weekly source for great financial and restructuring news affecting creditor rights specifically curated for you

Weekly News – February 20

In Sussberg We Trust, Michaels success story, QVC Fire Sale!, From LME straight to the trash heap,  Andrew Milgram on the middle market, and much, much, more...

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?In this Week's Creditor Corner

Sponsors up in smoke: Nemesis-Cek arrives at STB, In other big news this week: Tariffs, Xerox drop-down breaks new ground, Blue Owl panic continues, and much, much more...

2026 Credit Opportunities Symposium

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Registration Now Open

2026 

Credit Opportunities Symposium

presented by:

Credit Markets in Flux:

Late Cycle Opportunities & Pitfalls

Thursday, March 12, 2026 

Reception at 5:30pm

Friday, March 13, 2026

All-day Program

NYU Stern School of Business

CLE Credit Offered


Register Here

Agenda:

Keynote Presentation

Steve Tananbaum, GoldenTree Asset Management, in conversation with Sara Eisen, CNBC


Managing Credit Risk Across the Corporate Loan Market

This panel will explore how the convergence of broadly syndicated loans and private credit is reshaping investment management. Experts will discuss managing credit risk across market cycles and analyze emerging trends in credit and liquidity.

Moderated by Ted Basta (LSTA) with Harpreet Anand (Oak Hill) & Ramki Muthukrishnan (S&P Ratings)


Free falls, fraud and fun - Chapter 11 in real time

This panel of legal experts will explore the latest developments in Chapter 11, including new filings, emerging disputes, and the cases shaping today’s restructuring landscape. Join industry experts for a timely discussion of current events and key trends unfolding in bankruptcy courts.

Moderated by Cat Corey, 9fin, with Matt Barr (Weil), Judge Craig T. Goldblatt (Bankruptcy Court, Delaware), Ray Schrock (Latham) & Robert Stark (Brown Rudnick)


LMEs: You Can't Tell Where You're Going If You Don't Know Where You've Been

In this session, Jared Muroff, Head of Special Situations at Octus, will discuss recent developments in liability management exercises with a focus on their impact on potential future transactions.

LME Tools of the Trade: Recent Developments and Hot Topics In Loan Market Documentation.

This panel will examine recent loan market developments in the context of liability management, including DQ list flexibility, anti-cooperation and anti-advisor provisions, antitrust challenges, syndicate control, and other evolving liability-management technologies that are reshaping the playing field.

Moderated by Ian Feng (CreditSights) with Leonard Klingbaum (Ropes & Gray), Jason Krywood (Davis Polk) & Shai Schmidt (Glenn Agre)


Keynote: Vasant Dhar, author of Thinking with Machines: The Brave New World of AI


How is AI reshaping our world (and credit as well…)

This panel will include various perspectives of how AI is impacting the credit ecosystem, from data analytics to security selection and portfolio management.

Moderated by Steve Miller (Fitch) with Kelly Byrne (Mountain Point Credit), Rachel Jolivet (JPMorgan) and Sachin Gupta (Covara Capital)

For more information, including sponsorship opportunities, email info@creditorcoalition.org

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The Big News this Week!

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In the news

The "other" Big News this week...

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whack-a-mole continues

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Our take:

Another installment in the game of "whack-a-mole.”

Despite an IP-blocker prohibiting transfers of material intellectual property to an Unrestricted Subsidiary, Xerox created a work-around that could create more opportunity to "J. Screw" lenders going forward.

Rather than transfer IP directly to an Unrestricted Subsidiary, the company reportedly moved the assets into a joint venture entity that was less than 50% owned. Under many credit agreements, that distinction matters: an entity that is not majority-owned may not qualify as a “Subsidiary” at all. And if sufficient investment capacity exists, the transfer can potentially fit within permitted investment baskets.

If that is in fact what occurred (we do not have the underlying documents), it reflects a familiar pattern: when the front door is closed by drafting, creative lawyering looks for a side entrance.

For creditors, the impact remains the same: value that was presumed to sit inside the collateral package may not actually be there when stress hits.

Call it J-Screwed 2.0.

The larger theme remains unchanged: documentation is being stress-tested in ways few investors modeled. And courts — particularly in more debtor-friendly venues — are increasingly being asked to referee the consequences.

The LME arms race continues.

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a reminder that you only get what you paid for!

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In the news

smells "First Brands-esque"

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In the news

Blue Owl panic for private credit

Software panic hits the BSL Market

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Featured Event


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Upcoming Events

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Private Credit Restructuring: How Lenders and Sponsors Navigate Distress

February 26, 2026 

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ABI: Duberstein Moot Court Reception

March 2, 2026

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March 3, 2026

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CRC: 2026 Credit Opportunities Symposium

March 13, 2026

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Bankruptcy and Restructuring Primer for the C-Suite and the Board

April 22, 2026

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EMTA Forum: 2026 EM Corporate Bond Outlook in Boston

April 23, 2026

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Valcon

May 4 - 6, 2026

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The Data Download

Bringing Transparency to the Bankruptcy Process

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Our Take:

The Daily Cost of BK Legal fees Are Increasing.

Are we shocked? No.

We took a deep dive to see what is driving up the daily cost of restructurings and the culprit: Increasing Legal Hourly Rates. We analyzed final fee apps for top debtor law firms from 2018 to 2024 and found average hourly legal fees have increased by over 65% since 2018. Maybe a little bit of sunlight is the right disinfectant to help remedy the problem....

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