There have been more U.S. corporate bankruptcies so far in 2023 than in all of 2022 or 2021, as companies continue to struggle with high interest rates and a tight labor market.
In August 2023 alone, some 57 companies filed for bankruptcy, among them Proterra Inc. PTRAQ, -0.46%, the Burlingame, Calif.-based maker of electric buses and trucks. The company said it’s taking action to separate its business units “to maximize their independent potential.” It sells heavy trucks, vans, buses and off-highway equipment in the U.S., European and Asia-Pacific markets.
The Nashville, Tenn.,-based company blamed its demise on the International Brotherhood of Teamsters union, which in turn accused it of squandering its bailout funds.By sector, healthcare has seen the most bankruptcies for August, but lags consumer-discretionary and industrials in the year to date. Many of the healthcare bankruptcies were hospitals.