The number of large corporate bankruptcies in the U.S. fell 15% in the year ending June 2026, according to a report from Cornerstone Research. The consulting firm recorded 100 filings, down from 117 in the previous period. This decline, however, still left the total above the historical average, with the report highlighting ongoing economic pressures.
Despite this reduction, bankruptcies remained above the historical average. Between 2005 and 2025, the annual mean was 82 filings. The latest figure included 28 mega-bankruptcies, involving companies with assets exceeding $1 billion. While this was fewer than the 32 filed in the previous year, it still surpassed the annual average of 23 mega-bankruptcies, showing persistent financial challenges in large corporations.
Key sectors and causes
Manufacturing, services, finance, insurance, and real estate accounted for 64% of filings, reflecting broad economic strain across these industries. Plastic manufacturing, in particular, faced significant challenges due to normalized demand following the COVID-19 surge. Pretium Packaging, for instance, reported that its customers were left with excess inventory, leading to reduced orders. This sector’s struggles were emblematic of broader post-pandemic adjustments in consumer behavior and supply chain trends.
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Other sectors cited regulatory changes as major contributors. Medical service providers like ModivCare Inc. pointed to Medicaid reimbursement cuts under the 2025 One Big Beautiful Bill Act as a key factor. Tariffs also played a significant role, with companies such as First Brands and Claire’s noting import duties of up to 73% as contributing to their financial distress. These policy shifts added layers of complexity to already challenging market conditions.
Notable filings and future outlook
High-profile bankruptcies included STG Logistics, QVC Group, Saks Global, Spirit Airlines, and DISH. Among mega-filers, 73% attributed their situation to declining demand driven by shifts in consumer preferences and intensified market competition. These filings highlighted the vulnerability of even large, established companies to rapid changes in economic and consumer environments.
Regulatory pressures and operational costs
STG Logistics, for example, cited California Air Resources Board rules and federal contractor classifications as significant cost drivers. These regulations increased operational and compliance expenses, further squeezing profit margins in an already difficult environment.
