Some bond-holders can agree in principle. But, it takes a judge to allow
them to go to *their* backers and help *them* pitch the deal.
From: Christopher A. Woodfield [mailto:rekoil@semihuman.com]
Sent: Wednesday, August 08, 2001 11:06 AMI think the one exception to the rule in Covad's case is that
Covad seems
to have their reorg plan already in place and with the
blessing of the
majority, if not all, of their bondholders. I have no experience with
bankruptcy law, but given the fact that the debt-retiring
deal has been
made, where is the need to file Chapter 11? To flush out the
bondholders
who haven't agreed to the stock-for-debt deal?-C
>
> > From: up@3.am [mailto:up@3.am]
> > Sent: Wednesday, August 08, 2001 7:57 AM
> >
> >
> > >
> > > > Just found this...
> > > >
> > > > http://www.internetweek.com/story/INW20010807S0008
> > >
> > > i read a similar article y'day, and that was the first
that i had
> > > heard mention of rhythms going down. either i was too busy
> > pulling my
> > > hair out last month or they were really good about
keeping it quiet.
> > > *sigh*
> > >
> > > looks like verizon is gonna be the only xdsl provider
left solvent
> > > when the dust settles. how scary is that, and how predictable?
> >
> > Although this may well ultimately prove true, people do
realize that
> > filing for chapter 11 is not synonymous with going out of
business,
> > right?
>
> Show me one case, in the xDSL CLEC business where this has
held true. Thus
> far, *every* one of them, that has filed CH11, has gone out
of business
> within 30 days, as near as I can tell. The track record is
pretty dismal.--
---------------------------
Christopher A. Woodfield rekoil@semihuman.comPGP Public Key:
http://pgp.mit.edu:11371/pks/lookup?op=get&search=0xB887618B