"I can announce today that we will consult on taking the
best aspects of the American Chapter 11 system and give good
companies the breathing space to allow them to rescue or
restructure the business in the face of the credit crunch."
Stirring words from David Cameron, leader of the UK
Conservative Party. His comments to the Confederation of
British Industry in July prompted a rush of discussion in the
mainstream press. What was this Chapter 11? And what was wrong
with UK law as it was?
Meanwhile organisations such as the European High Yield
Association felt their time in the spotlight had arrived. The
EHYA has been campaigning for a more formal restructuring
procedure since 2006. In an interview with IFLR in September,
Gilbey Strub, managing director of the EHYA, described
Cameron's proposals as "a positive development" that "mirrored"
the EHYA's own intentions.
But despite enthusiasm...