3rd Quarter 2023 Chapter 11, Healthcare and Real Estate Distress Indices

In the third quarter of 2023, overall Chapter 11 distress continued to rise on both a quarterly and year-over-year basis, though it remained below historical benchmark levels. Real estate distress increased for a third consecutive quarter and remained elevated compared to a year earlier, while continuing to track well below long-term norms. Health care services distress surged to a new record high, extending an unprecedented period of sector-specific distress, even as the share of health care filings edged slightly lower.