Last year, bankruptcies filed by publicly traded companies decreased for the 3rd consecutive year.  These bankruptcies include both Chapter 11 and Chapter 7 filings filed by large firms.

Businesses file for Chapter 11 bankruptcy when they want to reorganize and pay off creditors in order to continue operations.  In contrast, a company will file for Chapter 7 bankruptcy when they want to stop operations and go out of business.

Only 88 public companies in the U.S. filed for Chapter 11 or Chapter 7 bankruptcy in 2011–the lowest amount since before the economic recession hit in 2008.  Last year’s filings by publicly traded companies were 17 percent fewer than in 2010 and 58 percent fewer than in 2009.  On average, assets listed in public companies’ bankruptcy filings last year were $1.2 billion.

If you or someone you know would like to learn more about filing for Chapter 7 bankruptcy, contact the Chicagoland Chapter 7 bankruptcy lawyers of the Law Offices of Stuart B. Handelman, P.C. by calling 312-360-0500 today.