Replies to post #1332 on Fibertower Corp fka FBBT

[rfarmer]

You can cancel the common if the value of the assets is less than the liabilities. In Fibertower's case we have yet to see a fair evaluation of the assets. There is some cash, there is some infrastructure, there are contracts generating $60M per year, and their is the SPECTRUM. You cannot just declare the common wiped out and poof it is done. There are processes that have to take place which protects creditors, lienholders, and shareholders. A lot of these processes are still in the early stages. If Fibertower sandbags the value of the spectrum there are common shareholders who will contest that valuation. Having the Spectrum on the books at $288M, writing it down to $106M, filing for chapter 11, and then stating that the common is wiped out, is a complete SANDBAG JOB that doesn't pass the simplest of sniff tests.

[hgabreal]

It is common practice....WHEN liabilities exceed assets.

I think that is why they are trying to mark down its true value....to make a case for cancelling the shares. In reality, it seems that its assets far exceed its debts/liabilities.

[56Chevy]

Can somebody send me the POR that states that the commons are not cancelled ?

A POR doesn't exist yet and the only one who could craft it would be the Debtor. They have exclusive rights to come up with a POR until 8/12/2013.

Source: BMCgroup doc # 613

http://docs.bmcgroup.com/fibertower/docs/txnb_4-12-bk-44027_613.pdf

In the meantime various assets are being sold off via 363 sale(s). As it stands right now 'the plan' appears to be to auction off ALL the assets, piece by piece, which would liquidate the company. This type action has nothing to do with equity holders wishes..it has to do with the creditors wishes. I cannot find objections to these sales from the creditors.