There is another possible explanation. When an insolvent company...

There is another possible explanation. When an insolvent company continues to operate, the directors become personally liable for debts incurred, and this would include the $30m note ATI is issuing now. Most likely these individuals see the writing on the wall.

ATI needed a big dose of equity. They already have enough debt to kill the company several times over.

Good corporate governance requires a majority of independant directors on the board. Mass resignation of independent directors cannot possibly be interpreted as a positive sign for retail shareholders.