what is the risk?, page-65

Mate,

The assets are good. But the problem is that companies don’t have the cash to pay for this.

It like me buying a pen for $2, selling it at $1.5. Someone must make up the difference. (I am hoping that this is not going to happen with BBP assets).

I feel the question I would ask is “Can BBP sell their assets at a good price to what they paid for it”. Hopefully they can do this and also kept some good assets until they can make a good profit from them to pay the interest bill.

Other case would be other bank lends them money at current interest rates and BBP pay back the other loans at higher interest rates. – This could be wishful thinking.