InvestorsHub Logo
Followers 885
Posts 51475
Boards Moderated 3
Alias Born 04/26/2007

Re: wormdirt post# 13439

Tuesday, 09/14/2010 12:58:10 PM

Tuesday, September 14, 2010 12:58:10 PM

Post# of 74547
"they" are not the ones that will cut themselves out of it - "they" never do. it's the bk law and the courts that make that determination. a concept that many of you simply still are unable or either refuse to grasp. the bk court is not going to GIFT common shareholders who are absolutely LAST on the food chain with money at the sacrifice of creditors. they would not be in bk otherwise, they would have done a merger or a buyout with the new company acquiring the debt. don't know what makes you think that bk is for the purpose of "SAVING COMMONS". it is for the purpose of reorganizing a company and it's debts. common shareholders are last to be considered or paid anything. as far as the "insiders" go, they can receive stock grants in the new entity without even having to invest a dime to get them, if the new management wants to do that. they can cancel the existing commons and start afresh. there is no pressing need to "save the commons" for insiders sake. lmao that is such a myth and misunderstood aspect of bk by investors. bottom line is that no judge is gonna gift the commons when there are creditors still in the lurch here. won't happen imho.

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.