Ronson Corporation (fka RONCQ)

[jaxstraw]

Actually Gonz there are two types of Q plays.

The one where an person is an investor and plans on holding through confirmation and thereby needing the equity to remain intact in some form.

This can be something in different ways though. The shares can remain whole, or the shares can be highly diluted and remain whole. Take QSGI for example, the common shares did survive, yet were diluted down 85% in the restructuring.

The other Q play is that many investors never plan on holding shares ever through confirmation at all. They invest and play the swings in PPS due to news from court, or pumps on message boards, or charts, or whatever makes them profit. That is happening with TRSTQ right now.

And actually in the larger bankruptcy plays where funds and institutions hold common shares they almost never hold through confirmation. They will hedge their investments by taking short positions, becoming secured bond holders, or taking long or short positions in the sector. But they rarely will hold through confirmation at all with common shares and risk total loss.

The second is not my style but many do it and it can be very lucrative if done right.