The country’s biggest real estate brokerage firm is included in the list of 15 firms projected to quote Chapter 11 and declare bankruptcy by 2009.  Realogy Corporation, which is a privately-owned company employing about 13,000 workers, include the Sotheby, ERA and Coldwell franchises. It is a prime mover in the relocation and real estate services. The trouble in Realogy started as early as 2007 when it was purchased by the Apollo Group.  The high debt load of the company started at almost the same the housing market took a nosedive. What made the problem worse was Realogy’s attempt to refinance most of its debt which yielded several lawsuits.

Realogy’s reach is far and wide considering that it operates all over the world with almost 315,000 affiliated agents and brokers and more than 15,000 affiliated real estate offices worldwide. The company’s $6.492 billion earnings in 2006 show how heavily Chapter 11 will affect the US and even worldwide economy.

Moody’s Investors Service came up with the list based on the firms’ limited cash or liquidity, piles of debts and large interest payments  Moody’s has categorized these 15 firms with very low ratings when it comes to short-term liquidity. While it is not sure that these companies will indeed declare bankruptcy they will definitely be in a different boat a year from now.