Banks can leave the notes alone and block interest until 2015,...

Banks can leave the notes alone and block interest until 2015, however It would be unwise for the banks to leave the notes alone and not convert, because if market crash further and BNB goes into administration. Debt holder will feed first before shareholders (this will include the preference shares recently converted by the bank). If this scenario happen, then the price for the notes will normalise as it is rock solid that they will get their money back. Therefore the bank only other option is to convert the notes, I would think that note holders will likely to receive the same deal as the banks. That is $100 debt for $100 worth of preference shares. In either case, it’s a win win situation for the notes. Now I just wish I had purchases more of the notes when I was given away at $2 - $3 apiece.