Nov. 9 at 8:33 PM
$BIGGQ
I don't think that you want to understand it, but if you do, here is an analogy.
You buy a house for a million dollars. You put
$100,000 down and borrow
$900,000. Over the next few years, you pay another
$100,000 on the house, then you stop making payments. At that time you owe the bank
$800,000 on the house.
The bank sells the house at auction for
$700,000. How much of that
$700,000 do you get.
You get 0. The fact that the house sold for less than the debt means that the owner gets nothing from the sale.
Although this example is grossly simplified, it explains what happened here, and what happens in 95% of all Chapter 11 bankruptcies.
People form all sorts of fantasies about what should happen, but those fantasies do not change the outcome of what actually happens in these cases.