I expect a quick exit from Chap. 11. Within 3 months IMO.
The Company currently expects to hold the Annual Meeting in the second half of 2015. An exact date for the Annual Meeting will be announced in due course.
Such a statement would be misleading if shareholders were not going to be around!
If unsecured debt is discharged, which is part of the plan. Judges discharge debt all the time. That is what Chap. 11 is for! Discharge is not illegal. The unsecured can file a civil lawsuit in an attempt to recover the debt. That will take years, so it would give MCP the time it needs to grow.
Wrong! Went through a Chapter 11 with another stock back in 2007. It had no revenue and huge debt! Stock fell to .08 then within 2 days back to .28 and as high as .40. When exited Chap. 11 stock rose to 1.56. Company eventually failed when the market collapsed, so SUCK IT! YOU'RE WRONG!
Here's you answer. Looks like "unsecured will be gone"!
The filing of any bankruptcy case, including a Chapter 11 bankruptcy, does not automatically result in the discharge of the debts owed by the filing business or individual. When and if a discharge of debts can be obtained depends on numerous factors. For example, if the bankruptcy case is dismissed prior to confirmation of a plan, then no debts are discharged. To obtain a discharge of debts in a Chapter 11 bankruptcy requires confirmation of a plan of reorganization providing for the continuation of the debtor’s business. When a bankruptcy plan calls for liquidation of assets and cessation of operations, no discharge is available.
For a business entity with continuing business operations, the discharge is obtained upon substantial consummation of the confirmed Chapter 11 plan of reorganization. At that time, all obligations not expressly set forth in the plan are “discharged,” regardless of whether a creditor has filed a claim, has an allowed claim, or accepts the plan. Those claims identified for payment under the plan – secured claims and long-term debt – are not subject to discharge, but continue by “agreement” of the debtor.
The discharge rules are different for an individual who is a Chapter 11 debtor. The general rule is that confirmation of an individual’s Chapter 11 plan does not result in a discharge of all debts other than those set forth in the plan of reorganization. Absent a finding of cause, the individual Chapter 11 debtor obtains a discharge only upon completion of all payments required under the confirmed plan of reorganization. An individual debtor may be relieved from this harsh rule in some situations even if he has not made all the payments required under the confirmed plan. To obtain a "hardship" discharge, the court must find that the debtor has paid to unsecured creditors more than they would have received if the bankruptcy had been commenced under Chapter 7 as of the date of the plan’s confirmation and that modification of the plan is not practicable.
The time at which discharge is obtained is important to both debtors and creditors. If a debtor defaults under a confirmed plan after discharge, a creditor’s remedies are generally limited to state law breach-of-contract remedies under the new plan-based contract. If default under the confirmed plan or a dismissal of the bankruptcy occurs before discharge, a creditor can seek to recover the entire balance of its claim. For these reasons, creditors prefer a later date of discharge, and debtors prefer an earlier date of discharge.
Debt is only pennies on the dollar. If they don't discharge completely they will only get pennies! The assets right now are virtually equal to the debt. So pennies on the dollar and assets still available should provide for the company to continue with just debt relief.
Doesn't look to be a lot of panic selling. It has only traded 995,000 shares over an hour. I think most of those who own are gonna hold on til BK exit. The shorts will need to cover before that happens. No point dumping shares at this point. Looks like it will rise from 19 cent range. Opened at .18 down to .12 and right back up. Someone is buying it up.
Operations outside North America, with the exception of non-operating companies in Luxembourg and Barbados, are excluded from the filings. Molycorp Rare Metals (Oklahoma) LLC is also excluded from the filings because it is not 100 percent owned by the company.