Latest news with #Chapter7
Miami Herald
2 days ago
- Business
- Miami Herald
Bankrupt retail chain closing dozens more store locations
The drugstore retail sector has closed hundreds of stores over the last four years for a variety of reasons, including losses from theft of merchandise, underperforming stores that no longer make economic sense to operate, and stores with lease rates too high for the market rate. The nation's biggest drugstore chains have been busy since 2021 seeking to cut costs and losses by shutting down stores. Don't miss the move: Subscribe to TheStreet's free daily newsletter Walgreens, which operates about 8,600 stores with 6,000 profitable locations, evaluated 2,000 stores for potential closure and identified 1,200 locations to shutter, with 500 set to close in fiscal year 2025. Related: Major logistics and trucking company files Chapter 11 bankruptcy The retail chain, which in March agreed to be sold to private equity firm Sycamore Partners, said it will close locations with negative cash flows, underperforming stores where it owns locations, and ones with lease expirations coming due in the next few years to reduce the impact of dark rent. A more recent report said that the drugstore chain might close even more stores, possibly one-quarter of its locations. Huge drugstore chain CVS in 2021 revealed it would close 900 of its nearly 9,900 stores to reduce costs and cut losses, closing 300 locations each year in 2022, 2023, and 2024. The company took community needs into consideration, such as maintaining access to pharmacy services, local market dynamics, population shifts, a community's store density, and ensuring there are other geographic access points to meet the needs of the community. A severely distressed and iconic drugstore is in the process of winding down its store count. Image source:Bankrupt drugstore chain Rite Aid, which filed for Chapter 11 protection a second time on May 5 as New Rite Aid LLC, has filed a fourth notice of additional store closing locations with the U.S. Bankruptcy Court for the District of New Jersey, seeking approval to close 111 additional stores and liquidate their assets, adding to previously designated locations for closing, for a total of 472. Related: Bankrupt drugstore chain closing over 150 stores; here's where Rite Aid already filed notices of store closing locations for 361 stores with the original notice and an additional closing notice on May 9, a second additional closing notice on May 15, and a third additional closing notice on May 23. More bankruptcy: Iconic auto repair chain franchise files Chapter 11 bankruptcyPopular beer brand closes down and files Chapter 7 bankruptcyPopular vodka and gin brand files for Chapter 11 bankruptcy The first four groups of store closings listed locations in 13 states, including Pennsylvania (177), California (59), New York (37), Oregon (17), New Jersey (16), Virginia (13), Washington (13), New Hampshire (8), Maryland (7), Delaware (6), Idaho (4) Connecticut (3), and Massachusetts (1). Rite Aid's fourth additional closing notice filed on May 30 includes store closings in California (39), New York (39), Washington (11), New Hampshire (6), Maryland (3), Oregon (3), Virginia (3), Connecticut (2), Vermont (2), Delaware (1), New Jersey (1), and Pennsylvania (1). New Rite Aid is expected to file several additional store closing notices before its bankruptcy case closes, as it plans to close all of its stores, estimated at about 1,240. Judge Michael B. Kaplan signed an interim order on May 9 approving initial and additional location closings. Objections to the interim location closing order and any of the proposed store closings must be filed with the court and received by the debtor and their counsel no later than June 9, according to court papers. Related: Another major internet company files for Chapter 11 bankruptcy The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Miami Herald
2 days ago
- Business
- Miami Herald
Major logistics and trucking company files Chapter 11 bankruptcy
The logistics and trucking industry has faced economic challenges over the last two years that have been known as the Great Freight recession. Financial distress among companies in the industry has been the result of a bad economy; decline in demand; low freight rates; rising costs of labor, fuel, and insurance driven by inflation; and fallout from the Covid-19 pandemic, which created a glut of trucks and drivers in the U.S. Don't miss the move: Subscribe to TheStreet's free daily newsletter Several trucking companies shut down operations, suffering severe financial issues, but didn't file for bankruptcy, including LTI Trucking, with about 250 drivers, which shut down its operations on April 2. Related: Huge trucking company files for Chapter 11 bankruptcy LTI's closing was followed by another trucking company, Davis Express Inc., which also didn't file for bankruptcy. Florida-based Davis Express revealed on its Facebook page that the company would shut down its business permanently after making its final deliveries on April 23 and returning all trucks to its terminal by April 30. Logistics and trucking companies also have filed for bankruptcy to reorganize their businesses and restructure debt, including AZA Transportation Inc., which filed for Chapter 11 bankruptcy on May 14. Transportation and logistics company Balkan Express and its affiliate Balkan Logistics filed for Chapter 11 bankruptcy to restructure their debts on April 30. Balkan Express operates 159 power units and employs about 166 drivers who ship general freight, including beverages. Also, major trucking and logistics company Elite Carriers and four affiliates filed for Chapter 11 bankruptcy protection on May 21 to restructure their debts. The company, which operates 70 trucks and employs 70 drivers, transports goods from the Midwest to the East Coast and Canada, according to its website. And now, a huge logistics and trucking company, KPower Global Logistics LLC, filed for Chapter 11 bankruptcy protection to reorganize its business almost four months after its affiliate Reliable Healthcare Logistics LLC filed for bankruptcy. Related: Another major internet company files for Chapter 11 bankruptcy The Memphis, Tenn.-based logistics and trucking provider filed its petition on May 8 in the U.S. Bankruptcy Court for the Western District of Tennessee listing $1 million to $10 million in assets and liabilities. The petition indicates that funds will be available to distribute to unsecured creditors. More bankruptcy: Iconic auto repair chain franchise files Chapter 11 bankruptcyPopular beer brand closes down and files Chapter 7 bankruptcyPopular vodka and gin brand files for Chapter 11 bankruptcy KPower Global Logistics' affiliate Reliable Healthcare Logistics filed its petition in the same court on Jan. 19, 2025, also listing $1 million to $10 million in assets and liabilities. Reliable Healthcare Logistics listed its largest unsecured creditors in its petition, including law firm Bass, Berry & Sims, owed over $1 million; FedEx Freight of Pittsburgh, owed over $632,000; and FedEx Ground of Dallas, owed over $632,000. Both KPower Global and Reliable Healthcare listed their headquarters at the same address on their petitions at 4105 S. Mendenhall in Memphis. Reliable Healthcare Management's website, however, lists an address and phone number in Boca Raton, Fla., but no one answers any of the phone extensions. KPower Global Logistics' website lists six facilities, in addition to its Memphis headquarters, which include McDonough, Ga.; Olive Branch, Miss.; North Brunswick, N.J.; Springfield, Tenn., Clarksville, Tenn.; and Arlington, Texas. The logistics, shipping, and trucking company, which has 5,000 employees, provides a variety of warehousing services, including bulk storage; cold storage; custom packaging, repack, and kit building; cross-dock and transload solutions; e-commerce order fulfillment; returns management; and sort and segregate, according to its website. The company also provides staffing services, transportation services, freight bill audit and freight payment services, warehouse management services, yard management services, transportation management services, consulting services, short- and long-term rental space, special projects, and other specialties. KPower Global Logistics did not immediately respond to a request for comment. Related: Major internet company files for Chapter 11 bankruptcy The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Yahoo
3 days ago
- Business
- Yahoo
Renée Zellweger Living Solo Again As Ant Anstead's Life Spirals Into Legal And Financial Chaos
Renée Zellweger and Ant Anstead's once-blossoming romance appears to be entering turbulent waters. The couple, who have been together since 2021, are now reportedly living apart, while rumors of financial ruin and new associations cast shadows on their future. With Ant's car business crumbling and Zellweger focused on work in New York, insiders say the situation is far from stable. Zellweger and Anstead, who began dating four years ago, are reportedly no longer sharing a home. According to insiders, the couple hasn't lived under the same roof for over a year. Anstead had been renting a modest two-bedroom property in Laguna Beach for $4,250 a month, while Zellweger continued residing in a $30,000-a-month clifftop rental nearby. A spokesperson for Anstead confirmed to the Daily Mail that the small home 'was rented solely by Mr. Anstead,' and the landlord clarified that Zellweger was not on the lease. Meanwhile, Zellweger has been in New York filming the hit Hulu series "Only Murders in the Building." Despite the physical distance and ongoing speculation, a source close to the "Bridget Jones's Diary" star maintains that 'they are still dating.' As Anstead's personal life becomes more complicated, his living arrangements have sparked more questions. He's been repeatedly seen spending the night at the upscale home of Julia French, a glamorous 36-year-old divorcée in Laguna Beach who is currently in the process of divorcing her hedge fund founder husband, James Hanna III. Anstead and French reportedly share a connection through their children, as one of her kids attends the same school as Anstead's son, Hudson. A source revealed to the outlet, 'When Ant's working late or needs childcare, Hudson goes back with Jules' kids. Then in the evening, Ant picks Hudson up.' The source also hinted at a 'flirtatious friendship' between Anstead and French, adding, 'When he moved out of his rental, he moved into the apartment above the garage at Jules' place.' Even after four years of dating, Zellweger seems hesitant to take the next step with Anstead. When Anstead lost his rental, it was assumed that he would move in with Zellweger again. However, that didn't happen. A source close to the Oscar-winning actress said, 'Renée currently has a rental in Laguna. When Ant lost his rental, the obvious thing would have been for him to move into the rental with Renée. But she doesn't want them cohabiting, so he has to find his own place to stay.' The insider explained that Zellweger's reluctance may stem from wanting to keep some personal space amid Anstead's growing troubles. 'That's kind of how the relationship works,' the source added, suggesting Zellweger may be trying to maintain boundaries while still being supportive from a distance. Anstead is facing a wave of legal and financial issues that have significantly impacted his lifestyle. His company, Radford Motors, recently filed for Chapter 7 bankruptcy in Delaware, a move that often leads to liquidation. Additionally, the British TV presenter is facing lawsuits from customers who allege fraud and breach of contract. One lawsuit claims that a customer paid a deposit for a $1 million custom Lotus race car, only for the car never to materialize and the money to remain unrecovered. Anstead or his company is being sued for over $3 million. Adding to the mess, the landlord of his Costa Mesa workshop reportedly filed for eviction. Although Anstead's spokesperson later claimed the filing was 'made in error' and withdrawn, sources say staff haven't been seen at the workshop in over a week. While Anstead deals with his personal and professional woes, Zellweger is staying focused on her acting career. She has been filming in New York and keeping a relatively low profile. Her publicist declined to comment on the current state of her relationship, but those close to her insist that she's still in a relationship with Anstead, though it is complicated by distance and logistics. Meanwhile, Anstead continues to maintain that his relationship is private. 'He continues to remain private about his cherished personal relationship,' his representative stated. Zellweger's silence on the matter is noteworthy and could be reflective of her preference to avoid drama and stay focused on work while things settle down.
Miami Herald
4 days ago
- Business
- Miami Herald
Popular internet provider files for Chapter 11 bankruptcy
The technology sector has not been immune to bankruptcy, as several companies have either filed for Chapter 11 protection or are considering filing a petition. Struggling semiconductor supplier Wolfspeed is the latest major technology company to consider filing for bankruptcy, sources familiar with the matter told the Wall Street Journal on May 20. Don't miss the move: Subscribe to TheStreet's free daily newsletter The Durham, N.C., tech company is reportedly pursuing a prepackaged Chapter 11 plan in the coming weeks after out-of-court debt restructuring attempts failed. Related: Huge trucking company files for Chapter 11 bankruptcy In April, banking-as-a-service start-up, Solid, which at one time called itself the Amazon Web Services of fintech, filed for Chapter 11 protection in Delaware after failing to secure an additional round of funding. And now, struggling business internet provider Everstream Solutions LLC has filed for Chapter 11 bankruptcy protection, seeking a sale of its assets, facing a potential default on over $1 billion in prepetition credit agreements. The Cleveland-based provider of connectivity services, communications solutions, and network security for businesses in 13 states in the Midwest and Northeast and Washington, D.C., listed $500 million to $1 billion in assets and $1 billion to $10 billion in liabilities, including $1.06 billion in funded secured debt, in its petition filed on May 28. More bankruptcy: Iconic auto repair chain franchise files Chapter 11 bankruptcyPopular beer brand closes down and files Chapter 7 bankruptcyPopular vodka and gin brand files for Chapter 11 bankruptcy Its largest unsecured creditors include Crown Castle, owed over $1.45 million in trade debt; Illuminating Co., owed over $1 million in trade debt; and Northern Lights Locating & Inspection Inc., owed over $881,000. The debtor blamed significant capital expenditures to expand its fiber network, unanticipated operational losses, industry headwinds, and unsustainable debt obligations for causing its financial distress that required a Chapter 11 filing. Related: Troubled radio station company files for Chapter 15 bankruptcy Everstream, which is 99% owned by non-debtor Midwest Fiber Intermediate US LP, hired restructuring advisers in April 2023, facing limited liquidity and a risk of default, according to a declaration by Chief Restructuring Officer Justin Schmaltz. The debtor launched recapitalization transactions to amend its credit agreements in October 2023, secured equity contributions, and sought a sales process for assets in Illinois, Missouri, and Pennsylvania. The sale process had not closed in April 2024 when it began a review of strategic alternatives, as its 2023 recapitalization cash had diminished, and it faced another risk of default, according to the declaration. The company began seeking a sale of all of its assets in September 2024, while a sale of its Illinois and Missouri assets closed in May 2025. A subsidiary of Bluebird Network LLC submitted a stalking-horse bid for debtor Midwest Fiber Holdings LP, which is listed as Everstream's ultimate owner, for $285 million on May 22. The debtor closed and will wind down its Pennsylvania operations. The debtor is also seeking approval of up to $186 million in debtor-in-possession financing, which includes $55 million in new money to fund its bankruptcy case. The bankruptcy case timeline calls for an auction for the debtor's assets to be held on July 17, a sale hearing set for Aug. 1, a confirmation hearing for the case on Oct. 30 if the stalking-horse bid is successful, or on Nov. 14 if not, and an effective date for the confirmation of the bankruptcy plan by March 26, 2026. Everstream was founded in 2014 and expanded through company growth and acquisitions from 2016-2022. The company generated over $135 million in revenue in 2022, over $148 million in 2023, and $156 million in 2024. The debtor operates in Delaware, Illinois, Indiana, Kentucky, Maryland, Michigan, New Jersey, New York, Ohio, Pennsylvania, Virginia, West Virginia, Wisconsin, and the District of Columbia. Related: Key healthcare company files for Chapter 11 bankruptcy The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Miami Herald
5 days ago
- Business
- Miami Herald
Bankrupt retail chain closing over 150 more store locations
National drugstore chains have faced financial distress since the Covid-19 pandemic, leading to some of the largest chains designating 100s of stores for closure. The most significant reason for all of the closings has been intense competition from consumers filling their prescriptions online through healthcare providers, Amazon, or specialty pharmacy providers like Mark Cuban's Cost Plus Drugs. Don't miss the move: Subscribe to TheStreet's free daily newsletter Consumers also fill their prescriptions at big-box retailers like Costco, Walmart, and Target, cutting into drugstore business. The big-boxes can also offer more choices and better prices on a variety of retail goods than the smaller drugstore chains. Related: Bankrupt retail chain closing hundreds of store locations Huge drugstore chain CVS (CVS) in 2021 revealed it would close 900 of its nearly 9,900 stores to reduce costs and cut losses, closing 300 locations each year in 2022, 2023, and 2024. The criteria for CVS closing stores considered several factors, such as maintaining access to pharmacy services, local market dynamics, population shifts, a community's store density, and ensuring there are other geographic access points to meet the needs of the community. Drugstore chain Walgreens, which operates about 8,600 stores, in 2024 said it would close 1,200 underperforming stores over three years, with 500 closings planned in fiscal year 2025, as part of its out-of-court restructuring plan. The retailer, which in March agreed to be sold to private equity firm Sycamore Partners, said it would close locations with negative cash flows, underperforming stores where it owns locations, and ones with lease expirations coming due in the next few years to reduce the impact of dark rent. A more recent report said that the drugstore chain might close even more stores, possibly one-quarter of its locations. Bankrupt drugstore chain Rite Aid, which filed for Chapter 11 protection a second time on May 5 as New Rite Aid LLC, has filed a third notice of additional store closing locations with the U.S. Bankruptcy Court for the District of New Jersey, seeking approval to close 151 additional stores and liquidate their assets, adding to previously designated locations for closing, for a total of 361. Related: Huge trucking company files for Chapter 11 bankruptcy Rite Aid already filed notices of store closing locations for 210 stores with the original notice and an additional closing notice on May 9, and a second additional closing notice on May 15. More bankruptcy: Iconic auto repair chain franchise files Chapter 11 bankruptcyPopular beer brand closes down and files Chapter 7 bankruptcyPopular vodka and gin brand files for Chapter 11 bankruptcy The first three groups of store closings listed locations in 12 states, including Pennsylvania (133), California (25), Oregon (17), Washington (8), New York (7), New Hampshire (5), Virginia (5), Connecticut (3), Maryland (3), New Jersey (2), Delaware (1), and Massachusetts (1). The third notice of additional closing locations filed on May 23 lists Pennsylvania (44), California (34), New York (30), New Jersey (14), Virginia (8), Delaware (5), Washington (5), Idaho (4), Maryland (4), and New Hampshire (3). New Rite Aid is expected to file several additional store closing notices before its bankruptcy case closes, as it is expected to close all of its stores, estimated at about 1,240. Judge Michael B. Kaplan signed an interim order on May 9 approving initial and additional location closings. Objections to any closings must be received by the court by May 30, with a final hearing to approve all closings on June 6. Rite Aid also won approval on May 21 to sell prescription files from 625 of its stores in 15 states to CVS. The company also sold 64 Rite Aid stores in Idaho, Oregon, and Washington to CVS. The drugstore chain also won approval to sell prescriptions at other locations to Walgreens, Albertsons, Kroger, Giant Eagle, and others. Related: Troubled radio station company files for Chapter 15 bankruptcy The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
