Bankruptcy is the Only Best Option. Now it is too little to late.

CEOs wait too long before filing bankruptcy. Delaying can result in total collapse of company. Executives management believe they know a company better than any outside adviser possibly could. They resist admitting that they weren't as nimble as they should have been when business first began slowing, and they fear the stigma of failure attached to bankruptcy will follow them throughout their career.

Restructuring pros cite the example of electronics retailer Circuit City (CCTYQ.PK), which had to liquidate after late attempts to fix its finances and find a buyer failed.

GM has said a bankruptcy filing would wipe out thousands of jobs, but some turnaround specialists insist that a well-thought-out bankruptcy filing would allow the company to reinvent itself.

Nortel Networks Corp (NT.TO) NT.N is seen as an example of a company that moved when it still had cash on hand and thus will have a better chance of restructuring successfully.