Ek Cant use borrowed money to buy current shares. shares still good. money raised fromNew shares issued can be used to buy current shares. Shares still good. No distribution expected. Shares still good. Company not bankrupt. Company expected to become profitable. Shares still good. No?
Far cheaper to just cancel old shares; or dilute them radically. ie those 1000 old shares at 30 cents might be 100 new shares at 30 cents. This allows the old baggage/turd shares to be flushed. New money does not want manure poop old shares.
Kodak just completed 848 millions refinancing to get out of EK (business wire). Debt no more issue. Bondhodlers are lined up behind company (like AMR), they will get stock too. DUe to that cooperation, large NOL, treasury stock which can be given to bondholders without dilution, chances of stock being cancelled, like chances of seeing an iceberg from Dream Hotel in Miami. Zero.
Stock will not be canceled due to great value of NOL. Treasury stock will be reissued. no dilution, Subscribe to Nexis,Lexis and look EK flow of info and it seems that way. Of course if paid $ 30 an hour to be a smic tier 5, you have no time for that. Smic T5 = social media investment consultant bashing within 5 minutes of opposing post