January 1, 1992 |
Southmark Settles Battles: Southmark Corp., once an $8-billion real estate conglomerate built through junk bonds, moved to sever ties with former officers it blamed in part for its failure. Southmark accepted $13.2 million to settle all lawsuits between the liquidating company and the two men. In exchange, Southmark will give up its interest in a company controlled by Gene E. Phillips and William S. Friedman. The company will also give up 15 real estate properties and six mortgages.
July 21, 1989 |
Southmark Corp., a large, diversified financial services and real estate company, said it has filed for protection from creditors under Chapter 11 of the federal bankruptcy code. The move was expected after Southmark reported May 16 that it lost $1.04 billion in the third quarter ended March 31, which placed it in violation of net worth agreements on some of its publicly traded bonds.
September 7, 1988 |
In one of the largest verdicts by a California jury, a Rancho Santa Fe couple has been awarded $130.9 million in damages from Southmark Corp., a Dallas-based real estate investment and financial services company. The couple, John and Lynne Riddle, had sued Southmark in San Diego County Superior Court in 1984, alleging fraud, breach of contract, intentional infliction of emotional distress and interference with business relationships.
May 17, 1989
Southmark Corp.: The real estate and financial services company reported a third-quarter loss of $1.04 billion, largely as a result of adding more than $800 million to its provisions for losses, the Dallas-based firm said. The results, stemming partly from discontinued operations and extraordinary items, compared to a $12.3-million loss a year earlier. Revenue for the period ended March 31 slipped to $406 million, compared to $431 million a year ago. The company said its deteriorating financial condition and a continuing depression in many real estate markets required significant adjustments in its provision for losses.