[40435] in North American Network Operators' Group
RE: Covad, Chapter 11 !
daemon@ATHENA.MIT.EDU (Roeland Meyer)
Thu Aug 9 01:34:34 2001
Message-ID: <EA9368A5B1010140ADBF534E4D32C728025AF3@condor.mhsc.com>
From: Roeland Meyer <rmeyer@mhsc.com>
To: "'Christopher A. Woodfield'" <rekoil@semihuman.com>,
Roeland Meyer <rmeyer@mhsc.com>
Cc: "'up@3.am'" <up@3.am>, nanog@merit.edu
Date: Wed, 8 Aug 2001 22:38:44 -0700
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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 AM
>
> I 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
>
> On Wed, Aug 08, 2001 at 08:41:07AM -0700, Roeland Meyer wrote:
> >
> > > From: up@3.am [mailto:up@3.am]
> > > Sent: Wednesday, August 08, 2001 7:57 AM
> > >
> > > On Wed, 8 Aug 2001, deeann mikula wrote:
> > >
> > > > On Wed, 8 Aug 2001, Smith, Rick wrote:
> > > >
> > > > > 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.com
>
> PGP Public Key:
http://pgp.mit.edu:11371/pks/lookup?op=get&search=0xB887618B
