ATP Oil & Gas Pref Shares fka ATPGQ

[56Chevy]

One last thought-

If there are any strong arguments (aside from the Clipper Wells Project) for the legacy shareholders to be included in a Plan of Reorganization (POR) would be the debtors' Net Operating Losses (NOL's).

I haven't seen the actual official NOL number but the company said they've been losing about $1.1 Million dollars a day for the past 3 years. If you do the back of a napkin math that means there must be approx $1 Billion in NOL's.

For any new potential owners that intend to make use of those NOL's it becomes legally imperative that the POR include the legacy shareholders. 50% retained legacy ownership rules apply.

The problem is you just never know how high on the list of priority those NOL's are to a potential new owner. You can't assume they'll do whatever it takes to keep them. In the minds of us retail investors it seems like a no-brainer and we have a hard time wrapping our minds around any reasons someone wouldn't want them but surprisingly its not uncommon for new owners to sacrifice them (or extremely limit how much they can be used) in order to gain a higher controlling interest over the company.

NOL's are the joker in the deck.