Originally Posted by
HSLD
I hope that little announcement/comment is for posturing in negotiations. One thing about a bankruptcy is that management is along for the ride just like labor. The BK judge and creditor committee call the shots - not management. For that reason alone a strategic bankruptcy is very risky and may not yield the desired effect. Most management teams do everything to stay out of Chapter 11 simply because they lose control over the company.
It takes some big brass ones to intentionally foray into Ch.11 if it's not an absolute last resort, but with excellent planning and a top-notch (and totally unscrupulous) team it cam pay off big time for the few key players.
I admit I've lost my SA on how that would work since the new rules came about. Maybe it wouldn't be worth the risk anymore.