Originally Posted by ContinentalFan
I actually didn't say 'bankrupt,' the phrase I used is technically bankrupt. The company is technically insolvent; it has insufficient assets to cover its debts. If it had a major cash flow issue, it would disappear (or course, there are mechanisms, C11, to forestall that problem). On the bright side, NW had nice, positive ROE for those years when it had negative earnings.
I wasn't trying to correct you, instead I was adding information to what you said....NWA hasn't had shareholder equity ever since their LBO but as you stated it's never been an issue