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I just don't get how they make money doing this.
Buy a firm that's healthy and growing.
Slash and burn until there's nothing left.
Sell the corpse at a profit somehow or, in this case, declare bankruptcy.
And then the line goes up? Why? How? Where does the new money come from?!
As far as I understand, for publicly traded firms they just need to show significant reductions in operational costs and invested capital, what amounts to a "healthy" company because higher profits, and the share price goes up.
When the share price goes up, they get financing against the now higher share price (banks are where new money comes from), use that money to buy controlling shares in other companies, and repeat the process.
When the bare-bones operation shows that it can't do what it's supposed to do with fuck all resources, they let the company die, declare bankruptcy and use accounting tricks so the losses reduce their tax load.
Yup, good ol' vulture capitalism.
Make a corpse, pick its bones, and fly away to the next meal.
Shareholders 'in on it' can make a tidy profit too, so they don't care that their new CEO or owner or w/e has track records likes these. 'What's that? You killed the last five companies you bought?' Eyes bulge with looney toons dollar signs.
What more amazing is that people can look at this system and say "look buddy, you don't have to like it, but capitalism just works, unlike your gommunism bullshit."
Even liberal economists complain that this business model produces no value and should be discouraged. But capitalism machine goes brrr, I guess.