Friday, April 13, 2012

How long will it take to resolve the Enron bankruptcy issues?

Since the Dodgers' bankruptcy is very much on my mind, I began to think about other bankruptcies. This led me to the big one in terms of bankruptcy - Enron.

Enron declared bankruptcy on November 30, 2011 (in Europe) and December 2, 2011 (in the United States).

But Enron didn't disappear - technically. It emerged from bankruptcy in 2004, finished selling off its assets in 2006, and changed its name in 2007. Now called the "Enron Creditors Recovery Corp," its sole purpose is to pay off various claims. And, as of 2011, it was continuing to do just that:

Enron Creditors Recovery Corp. distributed approximately $100 million to creditors in May 2011, bringing the total amount recovered to date to $21.738 billion. There are a limited number of pending litigation and collection matters and contingent liabilities that continue to affect the timing of the closure of the Enron bankruptcy case.

Yes, the closure of the case. Over ten years after bankruptcy was initially declared, the litigation isn't all done yet. I'm not sure how long it will take for Enron to cease to exist - if it ever does.
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