Stock related question

[Alienwho]

I bought 100 shares of Delta stock a few months ago, I paid something like 36cents a share. Now Delta is emerging out of bankruptcy and are coming out with a new sign. My DALRQ stock is now worthless as they move over to DAL. What's going to happen to my stock? IMO I'm entitled to 100 shares of Delta's new stock, but by the looks of things i've been left high and dry.

Does anybody know anything about how this works. If Delta strands me I'm going to be pissed. It's not the money that's important, I mean I only laid down like 35 bucks, but it's the principle of the matter. How can they just ditch their stockholders like this?

 

[simms]

You will be converted over.

 

[Mermaidman]

Originally posted by: Alienwho
. . . Does anybody know anything about how this works. If Delta strands me I'm going to be pissed. It's not the money that's important, I mean I only laid down like 35 bucks, but it's the principle of the matter. How can they just ditch their stockholders like this?

You took a chance and lost $35.

Investors should be cautious when buying common stock of companies in Chapter 11 bankruptcy. It is extremely risky and is likely to lead to financial loss. Although a company may emerge from bankruptcy as a viable entity, generally, the creditors and the bondholders become the new owners of the shares. In most instances, the company's plan of reorganization will cancel the existing equity shares. This happens in bankruptcy cases because secured and unsecured creditors are paid from the company's assets before common stockholders.

 

[imported_Lothar]

Originally posted by: Alienwho
I bought 100 shares of Delta stock a few months ago, I paid something like 36cents a share. Now Delta is emerging out of bankruptcy and are coming out with a new sign. My DALRQ stock is now worthless as they move over to DAL. What's going to happen to my stock? IMO I'm entitled to 100 shares of Delta's new stock, but by the looks of things i've been left high and dry.

Does anybody know anything about how this works. If Delta strands me I'm going to be pissed. It's not the money that's important, I mean I only laid down like 35 bucks, but it's the principle of the matter. How can they just ditch their stockholders like this?

You won't be refunded.
You just lost $35...Too bad.
http://www.marketwatch.com/news/story/d...40CC%2DB9C8%2D5FF21C5B6406%7D&dist=FSQ

Originally posted by: simms
You will be converted over.

No he won't.

 

[Alienwho]

. Thanks guys