SandRidge Energy, Inc. (fka SDOCQ)

[56Chevy]

1) Can the company cancel chapter 11 ?

No. Its not that simple. The company has already committed to its creditors what the POR will be. SDOC Management has the exclusive right for 120 days from the date they filed bankruptcy to file a Plan of Reorganization. No one else can file a plan within those 120 days. That means it would be Mid-September before the possibility of another plan could even see the light of day.

So unless you have an extra $1.5 billion dollars in cash you'd like to lend your company the pre-packaged POR to exchange debt for equity will get presented as planned.

This modest rebound in oil prices isn't enough to save SDOC. SandRidge would need oil to rebound to a minimum of $80 @ bbl. and even that may not be enough.

Why fire the CEO?..did he cause the price of oil to fall 65% in the last 2 years? Not hardly. His shares will be cancelled the same as everybody else. Its a myth that BK just takes down the little guys it takes plenty of big guys down too. Very few will even have a job when the newco emerges. But most, if not all, of the blue collar oil field workers will be able to keep their jobs. Somebody needs to do the work and it won't be the new owners in suits & wingtips crowd.