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Bankruptcy reorganization without assets to support the book value of common shares is risky and unpredictable. For example, when Texaco filed for bankruptcy after the Pennzoil award, its shares went down to $27 or so, no dividends, etc. They came out of bankruptcy, resumed dividends, share price went up to 60's. Another example, perhaps closer to QDRX, is MTCI. Its stock went from $1+ to 3 cents due to mismanagement and Reg D dilution, was delisted recently. But the CEO offered to buy 40 Million shares, personally, at current price of 1-2 cents. MTCI wnet bankruptcy reorganization. Q has to bring in cash for operations and at the same time meet NASDAQ listing requiremnets. If the management can attract cash infusion from Taylor Made or some big potential customer it may survive. If the stock does not meet the NASDAQ requirements, it will get delisted soon. In addition, they have legal problems to contend with. May be they need a Lee Iacocca (sp?). Ram |
