Escala still in the pink, for now.

[truthteller]

As of 2/1/07, $3.61 a share. You still have time to buy.

 

 

http://www.pinksheets.com/quote/quote.jsp?symbol=escl

 

 

 

 

TRUTH

[CarlWohlforth]

Weren't these the guys who went bankrupt? I must have that wrong because you can't be listed, even in the pink sheets, if you are bankrupt, right?

 

Anyway I remember them because you pointed out they were in trouble a while back...

[truthteller]

Weren't these the guys who went bankrupt? I must have that wrong because you can't be listed, even in the pink sheets, if you are bankrupt, right?

 

Anyway I remember them because you pointed out they were in trouble a while back...

 

 

You can be bankrupt for reorganization and be on stock exchange. However, if the company goes bankrupt for liquidation, the stock becomes worthless.

 

 

 

TRUTH

[DC Dawg]

You can declare bankruptcy under Chapter 11 and still appear on any stock exchange that will list you. Look at Delta Airlines, for example. Delta is reorganizing under Chapter 11 and is still listed on the NYSE.

 

Escala Group may be in Chapter 11 but lost their qualification to be listed on NASDAQ. When you are delisted from the NASDAQ, you can either buy your stock back at the prevailing price (the price of the close on the last day of listing) or the price settled by the receiver acting on behalf of the court and signed by the judge. The other option is drop down to the over the counter (OTC) markets, which is what the Pink Sheet monitors.

 

Once a company closes its doors and goes through liqudation under Chapter 13 or Chapter 7, the stock is delisted and any paper certificates that are out there become collectors items.

 

If we knew which jurisdiction they filed their bankruptcy, the public documents could be looked up to see how the reorganization is going.

 

Scott