Hold onto your Turkish coffee, Dearborn — these aren’t the kind of headlines we sip to pass the time.
According to S&P Global Market Intelligence, 63 companies filed for bankruptcy in June, keeping 2025 on pace for the most corporate collapses since 2010.
So far this year, 371 corporate filings—that’s up 11% from last year—mark the busiest first half in 15 years. Higher corporate debt, stubborn interest rates, a shaky job market, and inflation still above target? The perfect economic tagine for trouble.
📌 What’s Driving This Spike?
- Big-ticket bankruptcies: In June, five firms—like Wolfspeed and Sunnova—each carried over $1 billion in liabilities when they filed.
- Restructure vs. shutdown: Out of the 371 filings this year, about 61% are reorganizations, not liquidations—showing many companies still hope for a comeback.
Why It Hits Close to Home
Here in Dearborn, many of us are small business owners or proud of our Midwestern entrepreneurial roots. When big businesses are collapsing, it ripples through local supply chains, supplier contracts, and even neighborhood jobs and retirement plans.
And let’s be clear—this isn’t just a Wall Street problem: strained consumer spending, rising interest rates, and trade uncertainties are “pressure cooker” ingredients we’ve been living with every day.
🍵 Dearborn Blog Take
We get it, restructuring is better than liquidation, but it’s still a signal that something’s off. It’s like seeing your favorite corner store hit a rough patch: not quite closed, but the worry starts.
If big firms stumble, we feel the tremor. Time for policymakers to consider:
- Protecting businesses from economic shocks.
- Supporting liquidity options without encouraging reckless debt.
- Strengthening community ties so we weather these downturns together.
Source: S&P Global Market Intelligence — “63 US corporate bankruptcies in June set up 2025 for highest pace since 2010”
Let’s talk, Dearborn—what should we do when big companies trip? Comment below!
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