The Distressed Debt Alert

Moonlight Basin Ski Resort Files Chapter 11

The owners of Moonlight Basin ski resort in Big Sky, Mont., filed for Chapter 11 bankruptcy to avoid Lehman Brothers' foreclosure on an outstanding loan.

Source: Press Release

GSI Group, a Bedford. Mass.-based supplier of precision technology to the medical, electronics and industrial markets, filed for Chapter 11 bankruptcy as part of a pre-arranged restructuring plan.

Source: Press Release

TCW Group's leveraged finance division and Magic Johnson Enterprises launched a joint venture, TCW CapitalAssist Management, to provide financing for middle market companies.

Source: Press Release

Amelia Island Co., owner of the Amelia Island Plantation resort in Florida, filed for Chapter 11 bankruptcy and will secure debtor-in-possession financing from an investor group of homeowners, Red Maple Investors, the Florida Times Union reported.

Source: News Story

Oaktree Capital Management, an investment firm specializing in high-yield loans and bonds and distressed debt, plans to sell $250 million of 10-year notes, Bloomberg News reported.

Source: News Story

Penn National Gaming will provide a $51.5 million debtor-in-possession credit facility for the unfinished Fountainbleau hotel and casino project in Las Vegas and submit a $50 million stalking horse bid to purchase the bankrupt concern, according to a Securities and Exchange Commission filing.

Source: SEC Filing

DeCODE Genetics, an Iceland-based genetic research company, filed for Chapter 11 bankruptcy and plans to sell substantially all of its assets in a Section 363 sale to Saga Investments.

Source: Press Release

At least 27 banks that received Troubled Asset Relief Program bailouts have either been seized or threatened by U.S. regulators that knew the banks were in trouble prior to the cash infusions, the Wall Street Journal reported.

Source: News Story

Michael Day Enterprises, a Wadsworth, Ohio-based manufacturer of plastics for the automotive industry, filed for Chapter 11 bankruptcy and plans a sale to Italy-based Radici Group for $5.7 million, Plastics News reported.

Source: News Story

The delinquency rate on loans packaged in U.S. commercial mortgage-backed securities rose to 3.86% in October led by steep increases in the office and hotels sectors, according to the Fitch Ratings.

Source: Press Release