Patriot Coal Corporation (OTCQB:PCXCQ) is a producer and marketer of coal in the eastern United States - and it's also bankrupt. While I believe that an interesting way to speculate on Patriot's turnaround (albeit highly risky) is to actually own the bonds (convertible debt trades at $0.10 on the dollar, senior debt worth $0.48 on the dollar, and even the debtor-in-possession notes trades slightly below par), the recent doubling of the soon-to-be worthless equity is mind-boggling.
This Business Is In Significant Trouble
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