What Happens To Shareholders Of Uairq?

[usamuel]

Hello-
I apologize for my ignorance, as I'm sure this question must have been asked/answered before...

What happens to shareholders of UAIRQ when the company emerges from bankruptcy? I heard a rumor that all UAIRQ shares would be worthless and they wouldn't get any compensation at all... Does anyone know for sure what will happen? Shareholders would not get any new shared of LCC???

Please let me know-
Thank you-

 

[rjh]

Hello-
I apologize for my ignorance, as I'm sure this question must have been asked/answered before...

What happens to shareholders of UAIRQ when the company emerges from bankruptcy? I heard a rumor that all UAIRQ shares would be worthless and they wouldn't get any compensation at all... Does anyone know for sure what will happen? Shareholders would not get any new shared of LCC???

Please let me know-
Thank you-

[post="304641"][/post]​

That's what I heard as well. I'm not sure how that works legally ..but that's the way it is.

 

[FWAAA]

UAIRQ is canceled and no longer is entitled to any share of the company's assets upon liquidation. In short, completely worthless. But that won't stop people from trading it as long as someone in the pink sheets business will facilitate their trades.

UAIRQ holders get no stock in the new LCC unless they invest fresh money in the expected equity offering. But who would be dumb enough to do that?

In bankruptcy, if creditors don't get paid 100% of what they are owed, common stockholders get nothing unless the creditors give consent. And they almost never do that when they take huge losses (like in this deal).