A number of big American companies, including Clearwire Corp., Standard Pacific Corp., Dynegy Inc., and Barnes & Noble, Inc., could go bankrupt in the next time.
1. Clearwire Corporation (CLWR)
Financial distress probability: 14.93%
Accounting and governance risk: Aggressive
Market cap: $2,240,700,000
Used by Sprint, the WiMax 4G network of Clearwire is getting edged out by Verizon and AT&T's LTE 4G networks
2. Standard Pacific Corp. (SPF)
Financial distress probability: 13.35%
Accounting and governance risk: Very Aggressive
Market cap: $493,090,000
The company carried out a number of layoffs and cost cuts in 2009 and lost much money as the housing market double declined. Current CEO Ken Campbell will leave SPF next year after an aggressive turnaround
3. Dynegy Inc. (DYN)
Financial distress probability: 10.61%
Accounting and governance risk: Aggressive
Market cap: $680,740,000
Dynegy’s bondholders recently sued the company because they thought that they were shortchanged by Dynegy's restructuring, which helped Dynegy avoid bankruptcy
4. Community Health Systems (CYH)
Financial distress probability: 6.88%
Accounting and governance risk: Very Aggressive
Market cap: $1,752,400,000
The CYH saw a declined net income and poor profit margins. It recently sold out two of its hospitals in Oklahoma
5. Barnes & Noble, Inc. (BKS)
Financial distress probability: 6.32%
Accounting and governance risk: Aggressive
Market cap: $716,220,000
The company faces with new pressure from Amazon after the announcement of the new Kindle Fire and cheaper Kindles last week
6. Quad/Graphics, Inc. (QUAD)
Financial distress probability: 6.25%
Accounting and governance risk: Aggressive
Market cap: $996,400,000
Since the company picked up competitor World Color Press out of bankruptcy and bought HGI Company in 2010, its profit margins have been under pressure and debt is high
7. DineEquity, Inc. (DIN)
Financial distress probability: 5.97%
Accounting and governance risk: Aggressive
Market cap: $774,990,000
DineEquity owns two restaurant chains, Applebee's and IHOP, while many U.S. chain restaurants go bankrupt including Friendly's, Fuddruckers, Sbarro, and Perkins & Marie Callender
8. CoreLogic, Inc. (CLGX)
Financial distress probability: 4.44%
Accounting and governance risk: Very Aggressive
Market cap: $1,287,590,000
At least seven different firms have expressed interest in acquiring the data firm, according to Reuters
9. The Shaw Group Inc. (SHAW)
Financial distress probability: 3.81%
Accounting and governance risk: Aggressive
Market cap: $1,723,000,000
The Shaw Group Inc. is trading at its 52-week low and selling its 20% stake in Westinghouse to Toshiba Corporation
10. SunPower Corporation (SPWRA)
Financial distress probability: 3.20%
Accounting and governance risk: Aggressive
Market cap: $652,210,000
This year, SunPower sold its 250MW California Valley Solar Ranch to NRG
Clearwire Corporation
Related links:
Nokia and Sony Ericsson May Disappear In 2012
America’s Small Businesses: Most Shocking Facts
World’s Worst Central Bankers 2011
About the Author:
Jolie Crussel, an economic expert, is keen on analyzing the economic situations in the world. Currently, she often delivers lectures on economic solutions to students and provides advice for many firms.
Articles Source: Top Ten Big American Companies That May Go Bankrupt