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Yahoo-Bloomberg/Denise Wee/7-15-2020
“The New York University professor who developed one of the best-known formulas for predicting corporate insolvencies has a warning for U.S. credit investors: this year’s spate of “mega” bankruptcies is just getting started. More than 30 American companies with liabilities exceeding $1 billion have already filed for Chapter 11 since the start of January, and that number is likely to top 60 by year-end after businesses piled on debt during the pandemic, according to Edward Altman, creator of the Z-score and professor emeritus at NYU’s Stern School of Business.”
USAGOLD note: And what will the numbers be after the first half of next year? Who believes that the aggregate corporate loan volume is going to decrease over the next 12 months? Not many ……