Chapter 11 isn't the end. It can mean a successful restructuring

THERE is a perception in Singapore that when a company files an application in court for a moratorium to restrain legal proceedings against it, it is just a step away from liquidation.

That may be true for a majority of companies that have no sustainable underlying business and whose owners make last-ditch attempts to buy time to find a solution to their problems. Enron, WorldCom and Lehman Brothers are some well-known companies that never came back.

However, that is not always the case.