Totally agree.
Part of it out spite I think.
“go behind our backs again to try and screw us and see what happens” type of attitude.
The banks have already written down their loans, the P&L pain was last calendar year.
I think ARI were too diversified with their lenders too.
If you piss off one of the big 4, for the right price you can go elsewhere.
If you piss all of them off, including international lenders, haven’t got a snowballs chance in hell to go elsewhere.
Banking game is about relationships and reputation as much as it is numbers on a page.
Our weak bond market shoulders some blame too. Much of this bank debt probably trades as notes for a company in America or Europe.
Easier to negotiate schemes of arrangement that include debt to equity and the like. Not a good solution either way, but much better than zero.
The strangest thing though is all debt was unsecured.
For the right price AND security surely there to be interest here or abroad.
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