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Non-Tech : FTL- Fruit of the Loom

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To: epicure who wrote ()1/27/2000 7:21:00 AM
From: Arthur Tang  Read Replies (1) of 161
 
Fools rush in. On bankruptcy filings, what matters is how they exit the chapter 11. The price of a chapter 11 stock generally goes up then goes down and down. At the time of exiting the chapter 11, the stockholders value is more predictable.
It is generally a two year affair. Many got delisted from NYSE. That is the time to seriously study the company conditions and secured creditors' position, and the details of the reorganization plan. You can then risk your capital.
On the other hand, on momentum plays, fools rush in gives the professionals a chance to cash in.
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