latest-news-headlines Market Intelligence /marketintelligence/en/news-insights/latest-news-headlines/us-corporate-bankruptcy-count-rises-in-january-as-pandemic-rages-on-62434644 content esgSubNav
In This List

US corporate bankruptcy count rises in January as pandemic rages on

Blog

The Party is Over: Tupperware’s Failure

Podcast

Private Markets 360 - Episode 17: European Credit Opportunities

Blog

Engineering and Construction Cost Indicator declined in September as cost increases for materials and equipment moderate

Podcast

Next in Tech | Ep. 186: B2B Payments Technology and Markets


US corporate bankruptcy count rises in January as pandemic rages on

U.S. corporate bankruptcy filings rose in January from December 2020 as companies continue to suffer during the coronavirus pandemic.

Forty-five companies entered bankruptcy proceedings in January versus 39 filings in December 2020, according to S&P Global Market Intelligence data. January's filers included radio station operator Alpha Media Holdings LLC, Gardena Dental Care and Crechale Properties LLC. The consumer discretionary category accounted for the largest share of bankruptcies with 10 for the month.

READ MORE: Sign up for our weekly coronavirus newsletter here, and read our latest coverage on the crisis here.

Bankruptcies finished 2020 at a record pace with 630 filings that hit a wide swath of sectors, especially consumer-focused companies. Quincy Krosby, chief market strategist at Prudential Financial, told Market Intelligence that sectors such as retail and hospitality will probably see more bankruptcies "as long as the virus continues to restrict economic activity."

Retailers that have been unable to "successfully launch an online presence" will face additional pressure as the pandemic persists, Krosby said via email. "This in turn will lead to further stress on suppliers and malls operators."

In 2020, nearly 160 consumer-focused companies went bankrupt, including the high-profile filings of companies such as Ascena Retail Group Inc., GNC Holdings Inc. and J.Crew Group Inc.

Editor's note: This Data Dispatch is updated on a biweekly basis and the last edition was published Jan. 21. Market Intelligence may remove companies from this list if it discovers that their total assets and liabilities do not meet the threshold requirement for inclusion. Click here to download the charts.

SNL Image