Published: by ebenezer jeyakumar |
permalink Filing for chapter 11 bankruptcy protection simply means that a company is on the verge of bankruptcy, but believes that it can once again become successful if it is given an opportunity to reorganize its assets, debts and business affairs. Although the chapter 11 reorganization process is complex and expensive, most companies, if given the choice, prefer chapter 11 to other bankruptcy provisions such as chapter 7 and chapter 13, which cease company operations and lead to the total liquidation of assets to creditors.
Tags: chapter 11,bankruptcy,corporate bankruptcy,corporate credit rating,chapter 7,chapter 13,reorganization,business bankruptcy,corporate debt,new york stock exchange,otc bulletin board
