creditors' committees

A Creditors' Committee is a group formed during a bankruptcy process, representing the interests of the company's creditors. It typically includes key creditors, like banks or suppliers, and is responsible for negotiating with the distressed company about repayment terms or restructuring plans. The committee ensures that the creditors' voices are heard and that their interests are protected throughout the bankruptcy proceedings. By working together, the committee aims to achieve a fair resolution that maximizes recovery for its members while enabling the company a chance to reorganize and continue operations.