What does it mean to file for chapter 11 voluntarily?
A voluntary chapter 11 filing – such as ours – is an action voluntarily taken by a company to resolve financial challenges, such as lack of cash or excessive debt, in order to maximize the value of the “Estate” (the company’s assets and operations) for the benefit of all of its interest holders. During the chapter 11 process, a company is able to continue to conduct business while reorganizing its finances and operations in order to meet the claims of those to whom it owes money. This is accomplished in part through a legal mechanism known as the “automatic stay,” which stops creditors from taking action to collect money or property they are owed.
