Bankruptcies Accelerate in 2024 From Already High Levels

Corporate bankruptcies are on the rise, hitting levels last seen during the COVID-19 pandemic and the global financial crisis of 2008–09. According to a recent report from credit-rating agency Standard & Poor’s, 75 new corporate bankruptcies were filed in the month of June, indicating an acceleration of filings from already high rates in 2023. In addition, the agency reported, the 346 bankruptcy filings in the first half of this year exceeded the number for any six-month period over the past 13 years. The agency attributed the increase to higher interest rates, lingering supply-chain issues, and reduced consumer spending. Companies are finding it harder to stay open in today’s high-rate climate, says Jonathan Carson, co-CEO at Stretto, a bankruptcy technology and case-management services firm....