insolvency and the banks, page-2

a part of me thinks that there is a couple of Aussie banks who wouldn't want to have too many corporate failures & bad debts on this financial year's statement which in turn could effect there dividend payments, share price etc etc. and they would prefer to string a few of them out and capture the losses over a period of time particularly if there is better times ahead.
the other part of me thinks there are so many banks involved in these sydnicated lending deals its hard to be certain that all of them will tow the line and some may become so desparate they won't cooperate and will seek any type of return rather than nothing.
short to medium term any corporate collaspe won't have any an material affect on Australia bank ratings and their ability to borrow etc. because it is artifically enhanced be the Government guarantee.