First Brands CEO Patrick James resigns as company files for bankruptcy with over $10 billion in debt. Investigating accounting irregularities tied to financing arrangements. Founder and sole equity owner, James led rapid expansion. Interim CEO Charles Moore focuses on stabilizing operations and selling brands. Jefferies reassures investors after $715 million exposure, shares rise 3%.

First Brands relied heavily on funding from accounts receivables, entering bankruptcy with $2.3 billion owed to unpaid purchasers. Lenders face steep losses. Jefferies exposure limited to $45 million, absorbable without threat to financial condition. CEO Rich Handler and president Brian Friedman confident in correction of stock value perception. Jefferies in sound financial condition with SMBC agreement, annual investor meeting Thursday.

Read more at Yahoo Finance: First Brands Boss Resigns and Jefferies Seeks to Calm Its Investors