[PLUG] Finally, Galen can get back to work.

[Dwight Hubbard]

That's not debt to Novell.  SCO has a bunch of Novell's money.  I imagine
Novell is working very hard to ensure SCO isn't going to try and use their
money to pay SCO's creditors.

On 9/14/07, alan <alan at clueserver.org> wrote:
>
> On Fri, 14 Sep 2007, Kris wrote:
>
> > Russell Senior wrote:
> >> ... instead of obsessively tracking SCO stock:
> >>
> >> "The SCO Group Files Chapter 11"
> >>
> >> http://www.groklaw.net/article.php?story=20070914152904577
> >
> > Hopefully they liquidate, Novell can buy UNIX back and GPL it once and
> > for all.
>
> They don't have to buy it back.  The court said they own it.
>
> > Or maybe they will continue to survive:
> >
> > http://papers.ssrn.com/sol3/papers.cfm?abstract_id=956929
> >
> > "We examine a sample of 459 firms filing for Chapter 11 during the
> > period 1991 to 1998 and find that our sample firms experience
> > significant improvements in their operating performance during Chapter
> > 11. Our evidence is consistent with the hypothesis that Chapter 11, if
> > anything, provides net benefits to bankrupt firms. In the cross section,
> > firms with higher debt ratios experience greater improvements in
> > operating performance, and the complexity of the renegotiation process
> > negatively affects the improvement. We find no relationship between
> > Chapter 11 outcome and changes in risk-adjusted firm value in Chapter
> 11."
>
> If you look at SCO's filing, it does not include the debt to Novell.
> (About $25 million or so.)  Leaving off large chunks of debt is not viewed
> on favorably by the courts.
>
> --
> Never trust a queue structure designed by a cryptographer.
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-- 
Dwight Hubbard (RHCE)
dwight at dwighthubbard.com