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To: hdl who wrote (10091)	5/14/2002 6:06:14 PM
From: Oeconomicus	Read Replies (1) \| Respond to of 11568

hdl, a company is "insolvent" when it is unable to pay its debts as they come due. such a company is also technically bankrupt, though it may have substantial valuable, but illiquid assets. It may also be declared bankrupt if its liabilities exceed the fair value of its assets. balance sheet carrying amounts have little to do with it, unless they just happen to equal fair value. BTW, since the company still appears to be able to pay its debts as they mature and nothing has happened so far to allow secured creditors (if there are any besides lessors) to seize assets, an involuntary bankruptcy is not something the creditors could likely force, even if enough of them wanted to and could agree on doing it. this leaves the doom-sayers with only a voluntary BK based on the asset fair value vs liabilities definition of BK (and an underlying assumption that the BoD is out to screw the shareholders). this would be subject to stiff shareholder opposition, obviously, and seems rather far-fetched anyway, IMO. BWDIK? Bob PS: almost a third of the float changed hands today. i'm still wondering what 3/4 of a billion dollars was doing in the hands of "dumb money." or are they the "smart money?"