Reorganization
A process designed to revive a financially troubled or bankrupt firm. A reorganization involves the restatement of assets and liabilities, as well as holding talks with creditors in order to make arrangements for maintaining repayments. Investopedia Says:
Reorganization is an attempt to extend the life of a company facing bankruptcy through special arrangements and restructuring in order to minimize the possibility of past situations reoccurring. Related Terms:
Bankruptcy
Discharge in Bankruptcy
Prepackaged Bankruptcy
Restructuring
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