Commercial Mortgage Trusts Downgraded and Corporate Bankruptcies
April 11, 2025
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According to S&P1 Global Market Intelligence today, large US companies filed bankruptcy at the fastest rate in 15 years through the first three months of 2025. A total of 188 bankruptcies were filed by large companies through March, the most since 254 such filings were made over the first three months of 2010.
“Companies, particularly those with weaker balance sheets, continue to face challenges as debt matures and needs to be refinanced at higher interest rates than at the time of issuance.”- S&P
Last year, 139 large corporate bankruptcies were filed over the same three-month time period. You can review the companies that sought court protection in March here.
We have shared the notable bankruptcies for the week of April 4th, 2025. In addition, we shared the latest corporate upgrades/downgrades and analyzed Fitch’s latest downgrade of Commercial Mortgage Trusts.
Notable bankruptcies for the week of April 4, 2025.
WeightWatchers Prepares for Bankruptcy
WW International, the health and wellness company known as WeightWatchers, is preparing to file for bankruptcy in the coming months as part of a plan to hand control of the business to its creditors. The company faces financial pressure and disruption from the rise of weight-loss drugs like Ozempic and is still negotiating with a key group of lenders and bondholders.According to the sources, while WeightWatchers would prefer to restructure its balance sheet out of court, a chapter 11 process is more realistic because the company is publicly traded.
Sweepstakes Company Publishers Clearing House Files for Bankruptcy
Publishers Clearing House, a direct-to-consumer marketing company known for its Prize Patrol sweepstakes, filed for bankruptcy yesterday to restructure its balance sheet and shed costs from legacy direct mail and e-commerce businesses. The financial burden of the settlement came as PCH was facing new business challenges. The dominance of Amazon and Walmart online stores decimated its e-commerce business, leading the company to wind down the division.
Rite Aid Weighs Repeat Bankruptcy Filing
Drugstore chain is evaluating options for its business, including another chapter 11 or sale of some or all of its business. Rite Aid operated more than 2,000 locations and had about 47,000 employees at the time of its bankruptcy filing in October 2023. After shutting down many of its locations, Rite Aid emerged from chapter 11 last year with roughly 1,300 stores. If a sale doesn’t materialize either inside or outside of bankruptcy, the chain stands at risk of liquidating more of its footprint.
At Home Group, Stung by Trade War, Explores Bankruptcy
Trade war tensions have intensified financial pressure on a home furnishings chain that sources many of its products from abroad. The Plano, Texas-based company is also considering other debt restructuring options as an alternative to bankruptcy, sources say. At Home is negotiating with landlords and creditors regarding the restructuring of approximately $2 billion in debt.