Difficult business conditions in Japan are causing a jump in bankruptcies. Almost 500 firms collapsed last month.
Credit research firm Teikoku Databank reports 461 companies with debts of at least 10-million yen, or about 91-thousand dollars, took legal proceedings for liquidation in May. That's up 60.1 percent from the same month last year.
In addition to economic reasons, one factor that has led to the jump is a change in legal operations. Courts did not accept bankruptcy filings in May last year due to pandemic restrictions.
Japan's economy is expected to normalize as its vaccine program gathers steam. Its third state of emergency now in place has been particularly tough on the food and beverage industry.