Lorch officially retired five days before the board of directors decided to seek federal bankruptcy protection. When a company seeks bankruptcy protection, it is not pulling the plug. It is telling its suppliers, customers, employees and the rest of the world it wants to survive, but needs time to recover. The nitty-gritty has yet to begin. Lockhart said he plans to stick with the company through the entire reorganization.
Bankruptcy reorganizations take an average of six years to finalize.
It's probably more than money that attracted Lockhart to the job. Emerging from bankruptcy protection is a clean start for Lockhart as well, Melvin said. Lockhart may get the company he envisions. He does not have to live with the bad deals that his predecessor got him into. He gets to completely recast the company in his own vision.