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AFA Foods, Inc. files for Chapter 11 bankruptcy

Posted on April 5th, 2012 No Comments

The meat production company, AFA Foods, Inc. has sought the protection of Chapter 11 bankruptcy. The filing took place on Monday at the U.S. Bankruptcy Court in Delaware.

The decline of their revenue was directly linked to the “pink slime” uprising. This term was popularized by the media, and referred to a type of textured beef that was included in most ground beef products. The product resembles a pink putty, and people were outraged that this strange substance was used in the meat they were consuming.

Consumers purchasing ground beef started to fall, and AFA Foods, Inc. was negatively affected. Meat production companies were told they had to remove this filler beef in order to continue selling in certain markets. AFA Foods, Inc. was unable to find a replacement for this substance in their products, and therefore chose to file for bankruptcy.

If you or someone you know has questions regarding filing for bankruptcy, please contact the Birmingham bankruptcy lawyers of Greenway Law, LLC by calling 205-324-4000 today.

Jefferson County moving towards declaring bankruptcy

Posted on June 16th, 2011 No Comments

Jefferson County officials say the county is moving closer and closer towards filing for bankruptcy.  Commissioner Jimmy Stevens stated, “Bankruptcy has been on the stove, possibly moved to the front burner.”

This week, a bill that would allow the county to raise taxes to make up for their removal of occupational taxes.  Currently, county officials believe that if they do not declare bankruptcy, they will have to lay off hundreds of county workers.  Officials estimate the layoffs would account for about 40 percent of people employed by the county.

So far, the county has already made $30 million in budget cuts and expects to have to cut around $73 million more from their annual budget.

Contact the Birmingham personal bankruptcy lawyers of Greenway Law, LLC at 205-324-4000 today, if you or someone you know is considering filing for bankruptcy in Birmingham.

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