Have you every actually been a leader in this situation? I dunno, maybe you have and you followed through. If that's the case, then all the high fives to you.
But I sure haven't. And I look at it and I see a 10 out of 10 management challenge. You've got the weight of the world on your shoulders as a leader here. The lives of your employees, the faith of your investors, the very life of a company you've put your all into for years. And in this case the CEO was a first time founder with (rumor has it at least) not a lot of support from her board.
Maybe she did the wrong thing. Maybe she didn't. But this shit ain't easy, and I'm not one to judge too harshly.