By, Meredith Anderson
As our economy seems to still be hurting from the current recession, we are seeing now that it’s not only the smaller companies that are getting hit hard. Big names which we have learned to become loyal customers to over decades are now taking a turn for the worse.
The following ten companies were perceived to be at a very high risk of going bankrupt. The ranking was done by the markets perceived bankruptcy risk- Market Cap (MC) divided by the Enterprise Value (EV). In order from the most risky to least is at number one Hertz, Textron, Sprint Nextel, Macy’s, Mylan, Goodyear, CBS, Advanced Micro Devices, Las Vegas Stand, and at tenth Interpublic Group.
The nations ‘Big Three’ automakers, Chrysler, Ford, and GM face enormous discussion when it comes to bankruptcy as well. Congress asked the three companies to provide a $25 million dollar bailout plan saying that the worse is still yet to come. People are unable to pay for the cars they have bought and as more and more people turn to Chapter 13 these companies face the tough challenge of staying afloat. GM informed 1100 dealerships they would be cut in 2010. It’s a terrible cycle for everyone, with these cuts thousands of families will lose incomes and then who can really buy a car, none less feed their children?
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