|
contents | business | |||||||||
| American Home files for chapter 11 bankruptcy The Melville, N.Y.-based American Home Mortgage Investment Corp., the 10th-biggest U.S. home lender, reported that has filed a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the District of Delaware. American Home ceased taking mortgage applications on August 1, 2007 and separated all production employees on August 3, 2007. In conjunction with the filing, WL Ross & Co. LLC through its fund, WLR Recovery Fund III, L.P., has agreed to provide American Home up to $50 million in debtor in possession (DIP) financing, subject to court approval. The DIP financing is expected to provide American Home with funding to facilitate the Chapter 11 process. American Home further announced that its board has approved and the company has retained the services of Kroll Zolfo Cooper, and specifically its Chairman, Stephen Cooper, a highly experienced specialist in troubled business situations, to lead the Chapter 11 process. write your comments about the article :: © 2007 Construction News :: home page |