Energy Future Holdings Corp., which is backed by Kohlberg Kravis Roberts & Co., expects to take a non-cash $4 billion goodwill impairment charge in the third quarter because of lower wholesale power prices, according to Reuters. KKR and Texas Pacific Group bought the company in 2007. In July, Standard & Poor’s cut its rating on the company by four notches, saying that it sees a debt exchange as distressed and equivalent to a default.
Gloucester Engineering Co. has announced that it has filed a plan of reorganization that will allow it to exit Chapter 11 bankruptcy. The Massachusetts-based Gloucester is backed by private equity firm Blue Wolf Capital Partners and the plan is being sponsored by an affiliate of Blue Wolf Capital Fund II.