Stocks go away all the time. In Chapter 7 Bankruptcy companies are liquidated and simply cease to exist (and so does their stock). If you don't believe me then try to buy stock for Hostess Brands, Inc (the former makes of Twinkies). It no longer exists.
In Chapter 11, the stock is usually "cancelled." In those cases it also ceases to exist and completely new stock is issued to the company's debtors or new investors. That is what is going to happen here. Colony will own all of the new stock, and all current shareholders will be wiped out.
misty0732 is 100% correct. The stock will continue to trade until the judge bangs his gavel on the re-organization and as of that second it will disappear...POOF. Until then uneducated people (with regard to Chapter 11) will confuse any positive developments for the company that may be announced with positive news for the stock (which it is NOT.) Also, many who owned the stock will not sell because they figure "how much more do I have to lose" (the answer is $.02) and a some shares will be bought by shorts who would rather cover and release their collateral now in lieu of waiting 6 months for the "end" for another $.02.
There are instances where these stocks do bob up and down, but it is a dangerous game and you don't want to be there when the music stops without a chair.