Attention Economy


Monday, November 23, 2015

Global Debt Binge and Corporate Defaults

Given the endless stream of articles in the media about rising debt related problems in China and other emerging markets, it may come as a shock to many when they realize that US corporations account for the majority of the debt defaults that have taken place so far in 2015.
According to the FT:
“Global debt markets are on the cusp of an unwelcome development with the number of companies defaulting on their obligations set to reach the century mark, driven largely by struggling US shale gas providers. Currently, 99 global companies have defaulted since the year began, the second greatest tally in more than a decade and only exceeded by the financial crisis which saw 222 defaults in 2009, according to Standard & Poor’s. US companies account for 62 of this year’s defaults.”