Business-related bankruptcies drop in New Mexico

Posted at: 11/13/2012 7:55 AM
By: The Associated Press

ALBUQUERQUE, N.M. (AP) - New Mexico's business-related bankruptcies dropped to a six-year low during the 12 months ending with September.

The Albuquerque Journal reports that petitions were filed for 185 bankruptcies in which the majority of the debt was from business activities.

That's a 19 percent drop from 229 petitions with mostly business debt over the same federal fiscal year period in 2010-11. Business-related bankruptcies across the country dropped about 16 percent over the same period.

The 185 filings statewide was the lowest number of business-related bankruptcies since 127 were filed in the 2006-07 fiscal year. The drop in business-related bankruptcies could be a sign of a stabilizing economy, although many bankruptcy experts point to tighter credit standards as the reason.

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