Highlights
Insolvency Statistics in Canada — August 2011

The total number of insolvencies (bankruptcies and proposals) in Canada increased by 15.8 percent in August 2011 from the previous month. Bankruptcies increased by 15.7 percent, whereas proposals increased by 15.8 percent.

The total number of insolvencies in August 2011 was 3.7 percent lower than the total number of insolvencies in August 2010. Consumer insolvencies have decreased by 3.8 percent, while business insolvencies have decreased by 1.1 percent.

For the 12-month period ending August 31, 2011, the total number of insolvencies decreased by 9.9 percent compared with the 12-month period ending August 31, 2010.

Consumer insolvencies for the 12-month period ending August 31, 2011, decreased by 9.7 percent compared with the 12-month period ending August 31, 2010. Consumer bankruptcies decreased by 16.7 percent, while consumer proposals increased by 7.4 percent. The proportion of proposals in consumer insolvencies increased to 34.8 percent during the 12-month period ending August 31, 2011, up from 29.3 percent during the 12-month period ending August 31, 2010. For the 12-month period ending August 31, 2011, 96.4 percent of total insolvencies were filed by consumers.

Business insolvencies for the 12-month period ending August 31, 2011, fell by 15.3 percent compared with the 12-month period ending August 31, 2010. A reduction in the number of insolvencies among the transportation and warehousing; construction; professional, scientific and technical services; and retail trade sectors largely contributed to this decrease.

As of September 20, 2011, two Companies’ Creditors Arrangement Act (CCAA) proceedings initiated in August 2011 were filed with the OSB. Please refer to the CCAA records for additional details. Note: The Insolvency Statistics in Canada – August 2011 report, which pertains to bankruptcies and proposals filed under the BIA, does not include CCAA filings.

Read the report Insolvency Statistics in Canada – August 2011.