Spiegel Files
Downers Grove, Ill.-based catalog retailer Spiegel Group filed for Chapter 11 bankruptcy protection on March 17 in New York. The company announced it had secured $400 million in debtor-in-possession funding from Bank of America, which Spiegel anticipates will keep the company operating through the reorganization process. The company also announced it is no longer accepting its private-label credit card issued by its bank subsidiary, First Consumers National Bank. Spiegel had been having problems with its credit card business after issuing cards to high-risk customers and had been trying to sell off that portion of its business for several months. (FCNB is not part of the Chapter 11 filing.)
