Georgia Gulf

Frontrunning: January 7

  • Secret and Lies of the Bailout (Rolling Stone)
  • Banks Win 4-Year Delay as Basel Liquidity Rule Loosened (BBG)
  • Hedge Funds Squeezed With Shorts Beating S&P 500 (BBG)
  • Bankruptcy regime for nations urged (FT)
  • Is the Fed Doing Enough—or Too Much—to Aid Recovery (WSJ)
  • Cracks widen in US debt ceiling debate (FT)
  • McConnell Takes Taxes Off the Table in Debt Limit Negotiations (BBG)
  • Abe Seen Spending 12 Trillion Yen to Boost Japan’s Economy (BBG)
  • Monti, Berlusconi Spar on Taxes in Weekend Media Barrage (BBG)
  • Cameron Sets New Priorities for U.K. Coalition (BBG)
  • Defiant Assad Rules Out Talks With Rebels (WSJ)
  • Korea Seen Resisting Rate Cut as Won Threatens Exports (BBG)

Frontrunning: May 7

  • Greek pro-bailout parties lack majority, final poll results (Reuters)
  • Greek Election Gridlock Raises Risk for Bailout, Euro Future (Bloomberg)
  • Socialist Hollande ousts Sarkozy as French leader (Reuters)
  • Merkozy End Means Franco-German Gulf; Greek Voters Rebel (Bloomberg)
  • Election swing leaves Greece teetering (Kathimerini)
  • Merkel's Coalition Appears to Suffer Loss in German State (WSJ)
  • The Only Solution to the Eurozone Crisis (FT)
  • Cameron Faces Clamour From Party Right (FT)
  • Falcone’s LightSquared Said to Get Week Credit Extension (Bloomberg)
  • Hungary plans three-year, 15 billion euro IMF deal: state sec (Reuters)
  • Putin pledges unity on return to Kremlin (Reuters)

Next Up On the Gallows: Chemical LBOs

And y'all thought Lyondell is going to be the only spectacular chemical LBO bankruptcy. The list is long and focuses mostly on plastics makers: Ineos, Chemtura and Georgia Gulf. The third-largest producer of polypropylene sealed its fate in 2005 when it bought BP's Innovene unit for $9 billion. Net debt most recently was $9.7 billion, 4.3x more than LTM EBITDA according to CFO John Reece. Of course there is the matter of plummeting EBITDA... Doubt leverage will be there for long time.