and the underlying asset crap

Alan Bond bought Channel Nine off Kerry Packer back in the 80s.

The underlying asset was brilliant but he paid $1 billion for it.

The revenues from advertising couldn't possibly service the loans.

Packer bought it back for $200 million.

The test for all these debt laden companies is exactly the same.

Can the assets yield enough money to service the debts.

The boom is rapidly turning into a bust.

During the boom many of these business models worked.

I doubt they will work during the downturn.