Mr Cooper Group Inc fka COOP

[kermit42]

Maybe Mordacai can help resolve this issue, but I don't believe they have a choice regarding the commons. The commons represent an ownership interest. If the company is worth something (assets > debts) then the commons have value. Canceling would be like stealing.

But if the company is not worth something (assets < debts) then the commons lose out. I believe under this scenario, shareholders must lose all before creditors lose any.

So these shares may become worthless during the bankruptcy process, but it's not a choice some lawyer or executive makes.