The Polsinelli|TrBk Distress Indices

Chapter 11 Filings Increase in First Quarter of 2023, Is This the Start of a Trend? (click here for the press release).

Polsinelli|TrBK Indices

Bankruptcy filings in the United States increased slightly in the first quarter of 2023.

The Polsinelli|TrBK Healthcare Research Index decreased nearly 7 points in the first quarter of 2023 to 118.33; it has decreased more than 103 points in the past year. This index remains well below pre-pandemic levels. The Polsinelli|TrBK Chapter 11 Research Index increased nearly six points in Q1. The Polsinelli|TrBK Real Estate Distress Research Index increased nearly two points from the last quarter. Both the Chapter 11 and the Real Estate Distress Indices have shown slow but continuing growth over the past year.

The indices are contrarian indicators of economic performance, so that a low index value is likely to occur in a strong economy, and a higher index value is likely to occur when financial distress is escalating.

Polsinelli|TrBK Distress Indices released the 1st Quarter 2023 Report on April 28, 2023. The indices use filtered Chapter 11 filings as a proxy for distress in the overall U.S. economy and certain sub-sectors. A summary of the data for the first quarter of 2023 is shown below.