blearynet,You wrote, I hold a bond of a company that filed Ch. 11 last December. It is Edison Mission Energy. There is an active market for this bond, at about 50 % of what I paid for it. How does one determine the likelihood that this bond will eventually be redeemed for the price paid? I am wondering whether I should sell it instead of holding it.I have a couple EME bonds as well. I think I paid just over 78 for mine back in 2010 and received a few coupons. I think I read an analyst report right after the filing that they were expecting a workout of about a 50 cents on the dollar. Right now my bonds look like they're trading around 56.So now it's a judgment call. If you're optimistic on the work-out, you might hang on. But it also looks like it might be a pretty good time to get out.I believe that when the BK was announced, the bonds were trading at or below 50. If the work-out is realistically more than a year away, 56 might be a pretty good price - if I can actually get it on just a couple of bonds. I've just been sitting on them and not really paying attention since the BK until you said something. Looks like I might ought to consider selling them now. But don't take that as advice. I really don't have enough experience in this area to tell what a workout might be worth.- Joel
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