RE:RE:RE:RE:RE:RE:Chapter 11 or 15?I think that once a company files for protection any outstanding debt at that time (secured, preferential or unsecured) is stayed (frozen) and can only be satisfied under whatever terms are eventually agreed to by the company and the creditors and approved by the relevant court.
In order for the comany to keep operating and "work out" it needs a source of working capital, obviously it is illiquid or else it would not have filed for protection. The senior lender usually makes this working capital available in order for the company to accomplish the work out. Since the new debt, the DIP facility is made available post filing, it has priority to all other claims.