From a knowledgable poster:
In a Chapter 11 the debtor is given up to a year to establish a plan. Since the board owns 20% of the common don't look for a haircut. All classes will vote on the plan EXCEPT those being paid in full. You MUST remember this company got into trouble over a cash flow problem. The $250 Million $ DIP loan will enable to pay off costs to bring Clipper and Israel on line. Result $100,000,000 a month revenue. This is enough to pay all the debts and leave a healthy profit. What is a stock with earnings per share of $5.00 worth. This will be the case...
Link is detailed dd Ch11 Bk from goverment
Management really does not want to have it's very "dirty linin aired in public" court on their EGREGIOUS errors & odious OMISSIONS related to likely SEC rules are only our advised opinions on issues !
Common shares _MUST_ survive with enough value so that suits do not become very_personal ego issues_ ? thinking yet holders
I will help you out, my friend. Shareholders get nothing. Any other thinking is delusional. My committee will oust management. Their shares are worth as much as yours---ZERO.
This has nothing to do with dirty details. We will take the oil out of the ground. A new management team will do this. The losers will be denied access to their offices in a matter of time. If fraud is found, these guys will pay. Just give us a few months to sort this thing out. Nothing else matters...
"The $250 Million $ DIP loan will enable to pay off costs to bring Clipper and Israel on line."
Look at the 8-K and decide for yourself. It's not hard to read the cash flow projections.
The DIP will cover costs to bring Clipper on line. That's it. Look at the capex budget beyond Clipper. It's zero dollars. Clipper is all it will pay for.
But what you are missing is that they will do SOMETHING there.....Sell is probable so there will be cash coming in that is not shown on balance sheet projection....Alos dont think there arent oil and gas companies all over the world looker at lhe assets with potential to sell and raise cash for ATP....Think of the YEARS of delays Shell or someone like them would save stepping into the construction process and paying ATP sorely needed cash....
?'s,ALL long's ,$35 million note's omission of REQUIRED clause,holder of note "WILL NOT SHORT STOCK", was it part of ATPG's plan that appears tobe complicity with shorts ? If not part of a plan then how could management NOT know it's odious results on the stock would be a large % price decline ? Believe based on very knowledgeable advice that an issue of fiduciary responsibility under Bk court hearing is a high probability on the $35 million ill-advised note ?
TIA, for needed due diligence opinions from all for addressing above issues to both intities.Maybe finally ego's of the man will have to deal with misinformation statements in REQUIRED hearing as an issue in suits that will force enough value for common shares by court actions.
The company filed for bankruptcy with only $10 million in cash left and that was after the $35 million infusion from selling the notes. Do you really think that not letting the noteholders short the stock would have prevenented the bankruptcy?
Bk 90 day rule very general related to issues.. Therefore it is just a general rule that says ANY thing done in the 90 days prior to BK is ALWAYS subject to review..Generally the judges will not void agreements unless there is some fraud.. Also urgent reasons to unwind contract withs appearance of complicity in actions like omission by management in knowledgeable DUE DILIGENCE in FIDUCIARY RESPONSIBILITY rule.
$35 million note contract instance there is an UNBELIEVABLE advised EGREGIOUS OMISSION of an almost always REQUIRED clause in this type of ill-advised agreement; "holder of note WILL NOT SHORT ATPG STOCK"!!
A bonus in theory under a normalterms they could be liable for 5 years (i think that is the statute of limitations)..But the problem it has to be so egregious to be reversal,here they would argue,that bonus were necessary to keep employees motivated..Therefore only a likely issue for top man's ego. charles
Link Kramer's dd critical document on lease's time extension that Clipper MUST produce oil.
Management got the company in this mess. Why would they get anything but a kick in the a**? My losses are substantial, its their fault(mine for not selling). Why would they get anything but contempt, loathing and a trip to the exits?
T Paul wants the common and preferred to survive.
They own 20% and they know they will lose everything in their stock.
But I believe they really do care about their investors even though alot of people dont believe this (bite my tongue).
it's not up to them anymore. their shares are wiped out just like everyone else!!! once we are in bk, the co belongs to creditors. they will replace the board in the comng weeks. wait and see... so, who cares about the lame brains that used to run the co?