The American Stock Exchange formally suspended its...

The American Stock Exchange formally suspended its trading of the stocks and bonds of Care Enterprises Tuesday, a day after Care filed to reorganize its debt under Chapter 11 of the federal Bankruptcy Code. The suspension is considered a steppingstone toward removing the stock from the list of companies traded on the AMEX, said American Stock Exchange spokeswoman Pamela Jones. Companies that enter bankruptcy proceedings are prohibited from trading on the exchange. Care’s securities have not been bought or sold on the AMEX since March 23, when trading was halted in anticipation of a company announcement that a group of Care’s bond investors wanted immediate repayment of $51.7 million owed to them. The halt on trading was extended while the stock exchange awaited word from the company on whether it would declare bankruptcy, Jones said. Although Care’s stocks and bonds no longer can be traded on the AMEX, they can continue to be traded on the over-the-counter market.