1. Why did UAL rue tor bankruptcy protection In December ZUUZ'E 2. What is the rationale for allowing companies to restructure their debts and operations under Chapter 11 bankruptcy protection? a. What is the role of the 'automatic stay,' which prevents creditors from pursuing their claims to a defaulted borrower's assets outside of bankruptcy court? b. Why do we allow 'debtorinpossession' financing for companies operating under Chapter 11 protection? Why are DIP loans granted seniority to firms' pre-petition obligations? 3. What are the incentives of the different parties involved in restructuring UAL? What are the incentives of the firm's management? Secured creditors? DIP lenders? Unsecured creditors? Employees? 4. What are the important costs of financial distress that UAL is facing? How would these costs of financial distress vary across different industries? 5. Why has leverage in the airline industry been high relative to other industries? 6. As UAL, would you continue making required contributions to your pension plans? 7. As UAL, would you cancel your commitments to your pension plans