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InvestHub.com's
Finance Dictionary and Glossary of Investment Terms

reorganization  

Definition 1.

The action that may allow a company to emerge from Chapter 11 bankruptcy. Reorganization consists of a series of agreements between the company, its creditors, and the court which allow for the company to repay its debts and alter its structure to prevent the same problems form arising again.
 

Definition 2.

A process designed to revive a financially troubled or bankrupt firm. A reorganization involves the restatement of assets and liabilities, and communication with creditors in order to make arrangements for maintaining repayment.
 
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