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I bought Ultra Petroleum a number of years ago when it was rec'd by a MF newsletter. In spite of it's history this is one the few stocks I was comfortable holding onto through the highs and lows because I thought I understood the business; Ultra produces oil and natural gas cheaper than the majority of other companies out there....Then they announced bankruptcy, and in spite of that I held my shares and it looks like they may very well make it out of bankruptcy and my investment will still be worth something.

However, I am not a finance guy and I am having a hard time understanding the details. "Each holder of Ultra Petroleum common stock will receive a pro rata share of 41% of the equity in Ultra Petroleum after the reorganization is consummated and a pro rata share of rights to participate in the Rights Offering for 5.4% of the equity in Ultra Petroleum."

Can someone explain this in plain English? Does this mean my shares are worth 41% of what they are worth on the OTC board or do I get 41 shares for every 100 I own? Also, what does it mean to participate in the Rights Offering for 5.4% of the equity?

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