What would actually happen if bankruptcy occurs.

From reading "hard landing" I learned that executives in the 80s liked bankruptcy because it allowed them to escape ornerous labor agreements, hire scabs to replace everyone, and then emerge leaner and ready to make money. Apparently this isn't the same today, it has changed somehow to be much less attractive and have a much bigger tax on the company than back then. I'm not sure how.

Is there going to be a tipping point where everyone wants to file for chapter 11 just to be first? Or is this the sort of thing where you want to be the last one? AA has a ton of debt but the terms aren't really too bad are they... How much better would the debt be if it was restructured under the best possible realistic terms?

Also, nobody is talking about what it would look like if one of the big three liquidated. They say this is unlikely because who would be there to buy all the assets and pay off the debt. So the best option for the bondholders is to see us through this until there is a vaccine and return to profitability.

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