Great Basin Gold Ltd. (fka GBGLF)

[finbar99]

>>I read an article early in this which put the overall success rate for chapter 11 at a little less than ten percent

Bear in mind, no two bankruptcies are created equal. One shouldn't be expecting a high success rate given the assets that most companies enter bankruptcy with. If you measure the entire universe of filers - I think the success rate is probably lower than 10% as measured by equity. But if instead, you look only at the cases that are not 'hopelessly insolvent' - you'd get a far better number. You can't do an auction outside of Chapter 11 in the States - potential buyers insist on it because code section 363, the part of the bk code that lays out the rules for auctions - provides the buyer with certain protections that are impossible outside bk - namely under 363 a buyer cannot be held liable for anything that transpired with the company or with the assets prior to the sale date.