getting closer to the agreement

Per this article from the AFR it looks like the d4e has nearly been sorted. If the 1.5bn not swapped (or most of it) is just getting capitalised interest
then I suspect BNBG will be the left alone and get capitalised also and we'll just have to hope they sell the assets at a high enough price. Here's hoping....

This from http://www.thesheet.com/nl05_news_selected.php?act=2&selkey=7759

B&B debt for equity swap outlined
03 February 2009 6:51am
About $2.0 billion of the debt of Babcock & Brown will be turned into a form of perpetual note under the debt for equity swap that banks have almost agreed with B&B, the Financial Review reported.

Of the remainder of $1.5 billion in debt B&B will pay interest only on $200 million. Other interest payments will capitalise and penalty interest rates may also apply.

The newspaper speculated banks would need to take provisions against 60 per cent of the nominal loans to B&B.