2nd Quarter 2021 Chapter 11, Healthcare and Real Estate Distress Indices

In the second quarter of 2021, overall Chapter 11 distress declined sharply both quarter-over-quarter and year-over-year, widening the gap with historical benchmark levels. Real estate distress continued to ease on both a quarterly and annual basis, remaining well below long-term norms despite a modest increase in filing share. Health care services distress dropped dramatically, falling below benchmark levels for the first time after more than five years and reaching its lowest level on record, alongside a sharp decline in the share of health care filings.