Basically the levels of debt prior to this period of administration has compromised the chances of DMC coming out as an operating entity.
The same issues that were in existence at the start of administration that I mentioned before are still in place, but now you can add a likely downturn in the market as well. So if the business has high levels of debt, a downturn in trading terms (via Exchange Rate differences), a downturn in the market (less sales) and trust in the company reduced by the troubles in the company the chance of coming through alive are low.
This will cause a huge change in the Cross Stitch market, especially considering a huge portion of the kits come standard with DMC colours and coding. Also, many non DMC threads are still based on DMC dyed threads and blank/white stock.
The photo is a fine hangman's noose in DMC colour 316.