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(Bloomberg Businessweek) -- Explosives Saved an American Company From Chinese Competition The receiver had a final condition for signing off on Cournoyer's reorganization plan: The company had to leave the old 350,000-sq.-ft. red-brick mill, expensive to heat and 90 percent unused. [Extracted from the article]

U.K. Releases "Wartime" Funding to Save Economy from Virus Boris Johnson's government announced a massive rescue package of loans and grants for businesses in a desperate attempt to stop the coronavirus pandemic wrecking the U.K. economy. Bank of England said it will provide funding to businesses by purchasing commercial paper of up to one-year maturity, issued by firms "making a material contribution to the U.K. economy". [Extracted from the article]

(Bloomberg) -- Europe's energy-intensive industries at the core of the continent's manufacturing prowess are feeling the squeeze from higher gas prices. Chemicals BASF SE, Europe's largest chemicals firm, has cut back ammonia production -- important for a range of products including fertilizer -- at plants in Germany and the Netherlands. [Extracted from the article]

(Bloomberg) -- The coronavirus recession is generating winners and losers in corporate America, with cash-rich behemoths set to get bigger while debt-heavy companies and the economy lag. Financially Weak Recessions historically lead to market consolidation as financially weaker firms are forced out of business. [Extracted from the article]

(Bloomberg) -- For many U.S. small business owners, eight weeks of federal coronavirus relief won't be enough to survive the pandemic's economic damage, spurring calls from mom-and pop firms to extend the time frame. Borrowers must use the loans to cover payroll over about eight weeks for the debt to be forgiven, and keep or rehire the same number of employees as before the shutdowns. [Extracted from the article]

Another idea, from Brunnermeier, is for the Fed to charge banks a negative interest rate - that is, pay them, via the discount window - for rolling over their loans to small and medium enterprises. Companies should not get direct aid such as grants, she says, because any company will take cash that's offered, even if the managers know their situation is unsustainable. The Trump administration agreed to independent oversight of a fund to support companies. [Extracted from the article]

Another idea, from Brunnermeier, is for the Fed to charge banks a negative interest rate - that is, pay them, via the discount window - for rolling over their loans to small and medium enterprises. Companies should not get direct aid such as grants, she says, because any company will take cash that's offered, even if the managers know their situation is unsustainable. On March 24, House Speaker Nancy Pelosi said the Trump administration had agreed to independent oversight of a fund to support companies as part of a roughly $2 trillion stimulus bill that was before the Senate. [Extracted from the article]

(Bloomberg) -- PG&E Corp. creditors say the utility could wind up paying bankers and certain stock owners $1 billion in fees for arranging a bankruptcy exit plan that wildfire victims say favors Wall Street over burned-out neighborhoods. For arranging one-year loans of $34.4 billion, the banks will collect various fees including "ticking fees" of 0.3% of any undrawn loans and "duration fees" ranging from 0.5% to 1% of the outstanding principal. [Extracted from the article]

(Bloomberg) -- PG&E Corp. creditors say the utility could wind up paying bankers and certain stock owners $1 billion in fees for arranging a bankruptcy exit plan that wildfire victims say favors Wall Street over burned-out neighborhoods. For arranging one-year loans of $34.4 billion, the banks will collect various fees including "ticking fees" of 0.3% of any undrawn loans and "duration fees" ranging from 0.5% to 1% of the outstanding principal. [Extracted from the article]

Lawsuit aims to recoup $79 million paid in consultancy fees South African prosecutors have filed a lawsuit aimed at recouping 1 billion rand ($79 million) in consultancy fees they say were unlawfully paid to McKinsey & Co. Inc. by the state power utility, after talks with the U.S. firm about voluntarily repaying the money stalled. [Extracted from the article]

(Bloomberg) -- Cineworld Group Plc, the parent company of Regal Cinemas, was cleared to exit bankruptcy and slash billions of dollars in debt after nine months in Chapter 11 protection. The bankruptcy cost Chief Executive Officer Mooky Greidinger and his brother, deputy CEO Israel Greidinger as much as $1 billion, because they were Cineworld's biggest shareholders, a lawyer for the company said in the hearing. [Extracted from the article]

The proposals also seek to offer consolidated resolution for companies and their subsidiaries, fast-track out of court settlements, extend pre-packaged insolvency processes to larger companies, tighten recovery from personal guarantors and make failures to comply with the bankruptcy code civil violations rather than criminal offenses. (Bloomberg) -- India has proposed more than 40 amendments to its insolvency law, which could impact how recoveries are shared among creditors, decriminalize business failures, allow empires to be broken up, and give the government special powers in cases of public interest. The seven-year-old Insolvency and Bankruptcy Code was enacted at a time when India's banks were weighed down by over-leveraged companies and soaring defaults. [Extracted from the article]

(Bloomberg) -- Shocks to supply chains are engulfing a wider swath of the global economy as the pandemic rages on, threatening to stifle Asia's trade-led recovery just as soaring freight rates make it harder for businesses to weather another year like 2020. While most shipping analysts see the congestion lasting through the first quarter, there may be longer-term economic costs -- both for consumers to bear or companies' margins as higher transport costs get baked into annual contracts with container carriers. [Extracted from the article]

(Bloomberg) -- Shocks to supply chains are engulfing a wider swath of the global economy as the pandemic rages on, threatening to stifle Asia's trade-led recovery and making it harder for businesses grappling with soaring freight costs to weather another year like 2020. "Anyone paying the freight bills in 2020 though knows the true cost of shipping is much higher than even the recently increased rates", Poskus said. [Extracted from the article]

(Bloomberg) -- Shocks to supply chains are engulfing a wider swath of the global economy as the pandemic rages on, threatening to stifle Asia's trade-led recovery and making it harder for businesses grappling with soaring freight costs to weather another year like 2020. "Anyone paying the freight bills in 2020 though knows the true cost of shipping is much higher than even the recently increased rates", Poskus said. [Extracted from the article]

(Bloomberg) -- Following are the minutes of the Federal Reserve's Open Market Committee meeting on Dec. 16: A joint meeting of the Federal Open Market Committee and the Board of Governors was held by videoconference on Tuesday, December 15, 2020, at 1:00 p.m. and continued on Wednesday, December 16, 2020, at 9:00 a.m. Developments in Financial Markets and Open Market OperationsThe manager of the System Open Market Account (SOMA) turned first to a discussion of financial market developments. Core PCE price inflation, which excludes changes in consumer energy prices and many consumer food prices, was 1.4 percent over the same period, while the trimmed mean measure of 12-month PCE price inflation constructed by the Federal Reserve Bank of Dallas was 1.7 percent in October. All members reaffirmed that, in accordance with the Committee's goals to achieve maximum employment and inflation at the rate of 2 percent over the longer run and with inflation running persistently below this longer-run goal, they would aim to achieve inflation moderately above 2 percent for some time so that inflation averages 2 percent over time and longer-term inflation expectations remain well anchored at 2 percent. With inflation running persistently below this longer-run goal, the Committee will aim to achieve inflation moderately above 2 percent for some time so that inflation averages 2 percent over time and longer-term inflation expectations remain well anchored at 2 percent. [Extracted from the article]

(Bloomberg) -- Less than two months into Lebanon's bail-out discussions with the International Monetary Fund, talk is turning to the need for a Plan B.Lebanon's economy has been in freefall since October, when anti-government protests accelerated a financial crisis years in the making. As confidence fell, dollar inflows dried up and the currency plummeted, the government was forced to default on its foreign debt and turn to the IMF for a $10 billion loan to help it overhaul its devastated economy. The government plan estimates total losses incurred by the government, banks and central bank at $69 billion - three times the total economic output projected for this year. [Extracted from the article]

U.S. Outbreak Worsening, Cuomo Says (1:22 p.m. NY) The U.S. coronavirus outbreak is clearly seen to be worsening if New York is excluded from the data, Governor Andrew Cuomo said. U.K. Cases Top 200,000 (12:11 p.m. NY) A further 649 people were reported to have died from coronavirus in the U.K., bringing the country's death toll to 30,076. U.K. Lockdown Could Be Eased from Monday (8:46 a.m. NY) The U.K.'s coronavirus lockdown is likely to begin to be eased from Monday, Johnson said. NYC May Lose 900,000 Jobs in Lockdown (7:10 a.m. NY) New York City's average unemployment rate may triple to 12% this year, higher than the Great Recession, as plunging tax revenue opens an $8.7 billion budget gap, according to city Comptroller Scott Stringer. [Extracted from the article]

U.S. Outbreak Worsening, Cuomo Says (1:22 p.m. NY) The U.S. coronavirus outbreak is clearly seen to be worsening if New York is excluded from the data, Governor Andrew Cuomo said. N.Y. Forms Reimagine Commission (12:40 p.m. NY) Eric Schmidt, the former CEO of Google, has agreed to serve as chair of a 15-member commission to help reimagine New York. U.K. Cases Top 200,000 (12:11 p.m. NY) A further 649 people were reported to have died from coronavirus in the U.K., bringing the country's death toll to 30,076. U.K. Lockdown Could Be Eased from Monday (8:46 a.m. NY) The U.K.'s coronavirus lockdown is likely to begin to be eased from Monday, Johnson said. [Extracted from the article]

(Bloomberg Businessweek) -- A recession is no picnic. Corporate profits soared as the economy recovered much faster than workers' wages. From 2009 to 2012, when the economy was supposedly in recovery, the earnings of the bottom 50% of Americans fell 1.5%, while the top 1%'s income rose 21% and the top 0.1%'s earnings jumped 24%. Mark Zandi, chief economist for Moody's Analytics, estimates about 15 million American households with mortgages could stop paying if the economy stays closed through the summer or beyond. [Extracted from the article]

(Bloomberg) -- In Michigan and New York you can only call on certain days of the week, depending on your last name. Jason Moon, a spokesman for the Michigan Department of Labor and Economic Opportunity, said the state would soon begin accepting claims like Baker's.". [Extracted from the article]

(Bloomberg) -- In Michigan and New York you can only call on certain days of the week, depending on your last name. Jason Moon, a spokesman for the Michigan Department of Labor and Economic Opportunity, said the state would soon begin accepting claims like Baker's.". [Extracted from the article]

(Bloomberg) -- Federal Reserve officials already saw a need to get to work on novel programs to cushion the economy from the blow of the coronavirus outbreak when they announced an emergency interest-rate cut on a Sunday evening in mid-March. They voted to slash their benchmark rate to nearly zero and restart massive bond-buying programs to pump cash into the banking system as various corners of financial markets seized up. In an evening teleconference following the March 15 announcement, Fed Chair Jerome Powell told reporters that he expected the virus would eventually run its course and the U.S. economy would then resume a normal level of activity. [Extracted from the article]

(Bloomberg) -- As the coronavirus extends its march across the globe, schools and universities are being closed; lockdowns have become commonplace; non-essential businesses like cinemas, gyms, clubs, bars and restaurants are shut; and companies are asking employees to work from home wherever possible. The government plans $2 billion in state guarantees for smaller companies. * Stimulus package of 200 billion euros to provide loan guarantees to companies, especially smaller businesses, which also get a moratorium on tax obligations; delayed mortgage payments for families; 400 million-euro aid package for tourism industry. * Government has pledged 10 billion francs ($10.5 billion) in support, including funds to prevent layoffs, and emergency loan assistance especially for small- and medium-sized firms. [Extracted from the article]

* Emergency rate cut of half percentage point, liquidity for banks; deferred tax payments, interest-free loans for small businesses. * Tax and loan payments deferred; special paid leave for parents. * Stimulus package of 200 billion euros to provide loan guarantees to companies, especially smaller businesses, which also get a moratorium on tax obligations; delayed mortgage payments for families; 400 million-euro aid package for tourism industry. * Central bank cut one-week repo rate by a percentage point, added liquidity into markets by cutting amount of foreign exchange lenders must park and postponing foreign-exchange debt repayments by exporters. [Extracted from the article]

* Emergency rate cut of half percentage point, liquidity for banks; deferred tax payments, interest-free loans for small businesses. * Tax and loan payments deferred; special paid leave for parents. * Stimulus package of 200 billion euros to provide loan guarantees to companies, especially smaller businesses, which also get a moratorium on tax obligations; delayed mortgage payments for families; 400 million-euro aid package for tourism industry. * Central bank cut one-week repo rate by a percentage point, added liquidity into markets by cutting amount of foreign exchange lenders must park and postponing foreign-exchange debt repayments by exporters. [Extracted from the article]

The article offers information on the challenges faced by the credit market in the U.S. Topics discussed include information on the lost of market by the clover technologies due to the corporate loan challenges; discussions on the lack of liquidity as the cause of business failure; and the information on the company's private equity ownership and history of shareholder distributions and large debt-funded acquisitions.

Five initial public offerings have helped at least 16 tech bigwigs ring up a combined $48 billion of net worth at the time of the IPOs, according to data compiled by the Bloomberg Billionaires Index. Silicon Valley has had fewer unicorn IPOs this year, even as valuations for firms such as Uber Technologies Inc. have soared. [Extracted from the article]

The Trump Administration is seeking to relax the rules for companies to go public, echoing calls from the exchange industry that the regulations are too burdensome. Some of the proposals echo exchange rallying cries for regulators to make it easier for companies to list their shares and stay public, particularly small companies. [Extracted from the article]

China tells North Korean companies to shut down, the return of the steepener, and a data dump from Japan and South Korea. The S&P 500 Index and Russell 2000 Index closed at record highs Thursday, with the former gauge poised for its eighth straight quarterly advance. The Bloomberg U.S. Dollar Spot Index gave back some of its tax plan-induced gains, falling against all G-10 currencies. [Extracted from the article]

(Bloomberg) -- Ordinary Investors Burned as Crowdfunded U.K. Startups Fail (1) If backers of the virtual-reality company Oculus had received a stake in the company rather than a Kickstarter reward of yet-to-be-released VR headset, a $300 donation would have turned in to $43,000 when Facebook bought the company for $2 billion. What happens if the company fails - will you lose your money, or will Crowdcube reimburse your losses?) Daniels said the people asked for the correct answers so they could invest, but the company didn't help. Even with his financial interests now intertwined with the sector's success, Brown expects investors to lose more money next year as companies close down in a weakening economy. [Extracted from the article]