I'm hoping the more financially-savvy will pipe in, but that won't stop me from spouting some bullshit. Putting aside for the moment, the potential cash implications, I can think of the following issues.
1) It is very difficult to valuate the Company now, which will put downward pressure on the stock price when it resumes trading.
2) The valuation issues could also lead to rating downgrades if they haven't already.
3) The Company's lenders, probably spooked already, will walk or start raising rates to cover risk.
4) There will almost certainly be fallout litigation against the Company (e.g., Securities and ERISA suits).
So while BK might not be imminent, you can see how it could be coming. Also, the Company now needs to consider what is in the best interest of shareholders (although that may be mitigated by the Koss family's ownership stake) or, down the road, creditors, which could result in a distressed sale.