Whiting Petroleum is currently in chapter 11 restructuring.
If the restructuring plan is agreed, existing stock holders will get a 3% stake in they call "new common stock" and bond holders etc. will get a 97% in new common stock. (Restructuring plan https://cases.stretto.com/public/X059/10187/PLEADINGS/1018706302080000000068.pdf ... search for "common stock").
My question is, what happens to the old common stock and the options that are based on it? Are there going to be trading in old common stock and new common stock for some time?
Will there be a new ticker symbol for the new common stock (let's say NWLL) and the old common stock goes over to the pink sheets and the options continue to operate based on whatever price they old stock trades there?
Or will the price/ratio be adjusted according to the dilution (let's say technically this will a bit like a 100:3 stock split) plus issuance of new shares?
Also, assuming you sold calls, upon being called, you would be required to deliver old and new stock?