What term best describes when companies prepare a reorganization plan that is negotiated and voted on by the creditors and stockholders before the company actually files for Chapter 11 bankruptcy?

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This term is commonly referred to as a "prepackaged bankruptcy" or "prepack." It allows companies to reach an agreement with their creditors and stockholders before officially entering Chapter 11 bankruptcy. This can streamline the bankruptcy process and shorten the amount of time the company spends in bankruptcy.

What Term Best Describes When Companies Prepare a Reorganization Plan