"I rate SHLD common stock a strong sale. I rate SHLD debt a strong sale for retail holders because I envision a potential Ch.11 reorganization plan that would be greatly disadvantageous for retail holders because of their inability to participate in certain capital raising schemes contained in a plan. A change from Ch.11 to Ch.7 may, however, make for a fairer distribution to retail debt holders."
"July 10 is most likely the earliest date that SHLD would file for bankruptcy. They would no longer have to worry about fraudulent conveyance for the SRG deal. There are actually advantages for Lampert to have a filing, but that does not mean there are advantages for retail holders of SHLD stock and bonds."
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