Business bankruptcy is not always solely about debt. Sometimes companies see bankruptcy as an opportunity to solve their financial issues, while planning for future profits. Those affected may see business bankruptcy as a means of achieving success.
The tough economy has left millions of Americans unemployed. Although it has been a few years since the recession began, many people are still struggling to find employment.
The troubled economy continues to affect many people in Tennessee and in other places all across the country. In October, more than 75,000 homes nationwide were sold in foreclosure. In Tennessee alone, more than 2,500 homes were in foreclosure, but it appears that help is on the way for some homeowners struggling to make their monthly mortgage payments.
Earlier this year, the Tennessee-based company Graceway Pharmaceuticals LLC filed for bankruptcy. According to court papers filed in the business bankruptcy, the company owed as much as $1 billion to creditors. However, the company will be able to stay open following a successful bid by Medicis Pharmaceutical Corp.Graceway's troubles began when it lost the patent protection for its top-selling product, a skin cream called Aldara. The cream was responsible for 85 percent for the company's sales as recently as 2009. However, that share plummeted to just 16 percent during the first two quarters of this year.
Last month, a United States District Judge approved a settlement between a hedge fund and investors who claimed losses as a consequence of a trader based in Tennessee losing $141.5 million on wheat futures contracts in 2008. The judge's ruling clears the way for a $90 million settlement reached in January by investors and the hedge fund.