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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Ahda who wrote (62881)	1/23/2001 12:26:33 PM
From: Ahda	Respond to of 116759

U.S. Interactive Files For Bankruptcy Saddled with debt, a deteriorating business and dwindling cash reserves, U.S. Interactive Inc. became the first publicly held Internet services company to file for bankruptcy protection this year, according to Dow Jones. U.S. Interactive Inc. yesterday filed for chapter 11 bankruptcy protection in the U.S. Bankruptcy Court in Delaware and listed assets of $430.8 million and debts of $103 million. The list of the 20 largest unsecured creditors consists primarily of trade claims. Also filing was affiliate U.S. Interactive Corp. The move all but ends the six-year-old firm's existence and may be a forerunner of the times that await the rest of the sector. “I don't think this company will make it back and a few more in the sector could go bankrupt,” said Mayank Tandon, an analyst at Janney Montgomery Scott. U.S. Interactive officials weren't available for comment. Like these firms and others, U.S. Interactive has been struggling since the summer with a sharp drop-off in demand for its web consulting business. But its troubles were heightened by an ill-timed, cash-draining acquisition made early last year. “Obviously this company was a poster child for what was happening in the marketplace last year,” referring to the fickle Internet boom and then bust, said Joseph Garner, director of research at Emerald Advisers, one of U.S. Interactive's largest shareholders. Like other market watchers, Garner expects the shakeout in the web consulting market to continue with smaller, undercapitalized companies with unprofitable business plans falling by the wayside. “I think there will be more” bankruptcies, he added. finance.yahoo.com Quite a chart but it not going to help California as PA doesn't have an energy problem as we do.