I've got over $87,000 in shorts on aamrq. You don't seem to get it. aamrq has warned the common stock holders their stock may be worthless after coming out . They will issue new ones and the old ones will be worth 0. I learned this the hard way. Do You really think they want their stock to be penny stock. They need money and this is only way to get it, new stock offering.
Normally, the pink sheets goes to zero. 99%
The ability to print new shares.....a huge benefit to AMR
But.....there is always that outside possbility
A few sleepless nights for the short sellers........
Remember SIRI ?
Traded as low at 5 cents.........didnt go into bankruptcy
Most were sure, siri would go to zero........
AMR went into bankruptcy with $3 billion in the bank
What if.....they planeed to run the stock down to 30 cents, then buy a bunch cheap ?
Illegal - yes
But who goes to jail ?
Martha Stewart - but no one, if they make political contrubutions.
I do not know
But will know in a few weeks....
Some will be happy
Some will be sad