Your assessment of the legal consequences of bankruptcy makes sense. And if the bankruptcy court in Canada is anything like it is in the U.S., the bankruptcy judge and the trustee who will take control of KRY's assets will try to maximize the recovery to protect not only the bondholders but also all the unsecured creditors, including the holders of the common shares. This can be achieved by allowing the the company to use a reasonable amount of its cash/equipment to finance the balance of the arbitration and pay its continuing attorney's fees.

Patriot, I have been questioning this for a long time but I could never get an answer from RM. Maybe Nobear can answer the question, but if your statement is true, why even raise the $120 million. Then you would not need to dilute the award at all. Let the bond holders wait for there principal but give them extra interest, until the award. Then divvy up the money to bond and stock holders.

Happy Thanksgiving to all.