RE:RE:RE:RE:Interesting!1b1
You are confusing the term bankruptsy as it can mean different things! That said, I will not use US vs Canadian terms as they are different but I have been through a corporate restructuring often call bankrupsty twice! There is a point where a business is no longer salvageable and goes into a bankrupsty liquidation. In other words all there assets are sold and whatever money comes in goes to secured creditors. This is often confused with a creditor protection event also commonly called bankruptsy. The difference is the company is still salvageable but has to go into protection while still enough cash, staff etc remain to keep it alive. At this point rather than liquidating assets they wipe out shareholders typically though I have seen where they give them a few token shares like 1 for every 100! Then they offer creditors so many penny's on the dollar. Creditors then look to the financial aspects as to whether they see a potential for greater return taking pennies on the dollar and new shares vs liquidation. This is at the point the government if they are smart step in to assure survival! That is a true gov bailout in that it is protecting tax payers not shareholders and corporations....