Companies are owned by shareholders, and it's the shareholders who lose in bankruptcy. Suppose a company that is owned by group A is worth $X and finds itself i

Companies are owned by shareholders, and it's the shareholders who lose in bankruptcy. Suppose a company that is owned by group A is worth $X and finds itself in $X worth of debt it can't pay to group B. Then the company declares bankruptcy and goes to bankruptcy court, and after all of the facts are worked out (It really is owned by group A, it really is worth $X, etc) ownership of the company would be awarded to group B. It's often a more messy process than this, but there's no reason a company going through bankruptcy would necessarily be impacted in any way aside from an ownership change. https://en.wikipedia.org/wiki/United_States_bankruptcy_court https://en.wikipedia.org/wiki/United_States_bankruptcy_court