Chapter 11 is a chance to reorganize this way they can ask Nikon, Canon, or others to restructure the way they pay them off. Such as changing the terms of loans or changing how much they will actually pay back. Like giving Nikon pennies on the dollar.
Chapter 7 is liquidation. The will have to sell everything they have in order to pay off their debts. They may sell equipment, stores, franchises etc.


They seem to owe Nikon and Canon a few dollars.
http://www.usnews.com/blogs/the-tick...ankruptcy.html
"The filing also shows the Ritz's largest unsecured creditors are Nikon Inc. with a $26.2 million claim and Canon USA with a $13.7 million claim, according to Reuters. Shares of both camera makers have been slumping badly for months."