<story><title>Shale pioneer Chesapeake Energy files for bankruptcy</title><url>https://www.reuters.com/article/us-chesapeake-enrgy-bankruptcy/shale-pioneer-chesapeake-energy-files-for-bankruptcy-idUSKBN23Z0SS</url></story><parent_chain><item><author>victor106</author><text>It’s interesting how companies can file for bankruptcy and can come out of it with not much damage done to the company. At a personal level you are essentially screwed for 7 years and even after that I think some companies don’t employ you.&lt;p&gt;Can anyone point to any resources that provide a good introduction to the bankruptcy process in the US?</text></item></parent_chain><comment><author>genericresponse</author><text>Companies that file for bankruptcy don&amp;#x27;t have much damage done to operations and the organizational structure because its ability to keep operating is usually the highest value outcome. That is- the company&amp;#x27;s continued operations bring in more money than selling off the assets. Most corporate bankruptcy is about not making enough money to pay their outstanding debts, not having money losing operations.
Typically the owners lose all their investment and the debtors lose some of their investment. The debtors, in order of priority, are given ownership of the company by the court.&lt;p&gt;The ability for ownership to exist separately from the &amp;quot;operating&amp;quot; company, for the owners to only be liable up to losing their investment, not more, and for the management and employees not to directly lose money is sorta the &amp;quot;why&amp;quot; for corporations to exist.</text></comment>
<story><title>Shale pioneer Chesapeake Energy files for bankruptcy</title><url>https://www.reuters.com/article/us-chesapeake-enrgy-bankruptcy/shale-pioneer-chesapeake-energy-files-for-bankruptcy-idUSKBN23Z0SS</url></story><parent_chain><item><author>victor106</author><text>It’s interesting how companies can file for bankruptcy and can come out of it with not much damage done to the company. At a personal level you are essentially screwed for 7 years and even after that I think some companies don’t employ you.&lt;p&gt;Can anyone point to any resources that provide a good introduction to the bankruptcy process in the US?</text></item></parent_chain><comment><author>TAForObvReasons</author><text>Hostess &amp;quot;recovered&amp;quot; after their bankruptcy by selling assets to a new company (the new company is now Hostess Brands and the old one is &amp;quot;Old HB Inc&amp;quot;).  The good parts of the company are in a new shell, and the unit economics allowed them to continue operation.  All of the liabilities are in the old company. 
 Many investors and pension holders took a loss, and many employees lost their jobs.</text></comment>