[40404] in North American Network Operators' Group
Re: Covad, Chapter 11 !
daemon@ATHENA.MIT.EDU (Leo Bicknell)
Wed Aug 8 11:19:30 2001
Date: Wed, 8 Aug 2001 11:12:58 -0400
From: Leo Bicknell <bicknell@ufp.org>
To: nanog@merit.edu
Message-ID: <20010808111257.A62759@ussenterprise.ufp.org>
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nanog@merit.edu
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In-Reply-To: <Pine.BSF.4.10.10108081055080.49680-100000@richard2.pil.net>; from up@3.am on Wed, Aug 08, 2001 at 10:56:48AM -0400
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On Wed, Aug 08, 2001 at 10:56:48AM -0400, up@3.am wrote:
> Although this may well ultimately prove true, people do realize that
> filing for chapter 11 is not synonymous with going out of business,
> right?
While not synonymous, they are very close for a tech company.
Chapter 11 takes a long time, and during that time you don't get
to upgrade your network or the like. Having a year of no upgrades
in a network often leads to customers leaving. Just try to win
any new business while in Chapter 11.
Bottom line, if a tech company makes it through chapter 11, they
are quite likely to come out very week, and very behind. Never
say never, Covad could still go on to do wonderful things, but
I think the odds are heavily stacked against them.
--
Leo Bicknell - bicknell@ufp.org
Systems Engineer - Internetworking Engineer - CCIE 3440
Read TMBG List - tmbg-list-request@tmbg.org, www.tmbg.org
