Debt Management

10 Historic Bankruptcies

If you have been considering bankruptcy, you might be dealing with a guilty conscience because you are going to eliminate a few thousand dollars of debt. If you are, you might feel better after you take a look at 10 bankruptcies that went down in history as the biggest ever.

10. Pacific Gas and Electric Co. Owed 36.1 Billion

PG&E filed bankruptcy in 2001 after making some bad business decisions. They have since recovered and are again a leader in the industry. If fact, in 2005 they were named one of the most profitable companies on the Fortune 5oo list.

9. Thornburg Mortgage Owed 36.5 Billion

Thornburg Mortgage was a victim of the Great Recession, fears of increased market call, and the collapsing housing market. They filed for bankruptcy in 2009.

8. Chrysler Owed 39.3 Billion

In April of 2009 Chrysler was forced into federal bankruptcy. The corporation sold some assets and formed a new company, Chrysler LLC. They struck a deal with Fiat, who now holds 20% of the company and may eventually gain as much as 51%.

7. Conseco Owed 61.4 Billion

Conseco provided annuity, supplemental health insurance, and life insurance products to more than 4 million people. It imploded in 2002 after a series of bad investments.

6. Enron Owed 65.6 Billion

Enron was the 7th largest company in the US when it was discovered the company was based on an elaborate scam. The company collapsed in 2001 and more than 21,000 people lost their jobs.

5. CIT Owed 71 Billion

Even after receiving a federal bailout and 7.5 billion dollars in loans, this company filed Chapter 11 bankruptcy in 2009.

4. General Motors Owed 91 Billion

General Motors was unable to survive the Great Recession of 2008-2009 and went into administration in June of 2009.

3. WorldCom Owed 103.9 Billion

Failed mergers and fraudulent accounting methods both played a role in the downfall of this telecommunications company. It was brought down in 2002 and was the biggest bankruptcy ever filed at that time.

2. Washington Mutual (WaMu) Owed 327.9 Billion

This company brought about its own demise by practicing bad lending practices. It filed Chapter 11 Bankruptcy in 2008.

1. Lehman Brothers Owed 691 Billion

Lehman Brothers file for bankruptcy in 2008, going down in history as the largest bankruptcy ever.

When you take a look at those numbers, you may feel a little better about your own bankruptcy. Why not talk to Hawaii attorneys about Hawaii bankruptcy laws and see if this may be the best option for you.