Hi UTSWhere did you get the info that debt covenants have been...

Hi UTS

Where did you get the info that debt covenants have been waived (?).

I thought that the facility terms had only been extended to defer covenants -but at a price.

I don't for a moment think that debt will do anything other than that which is in their primary interest (ie. getting their money back).

Problem is- we don't know what covenants apply until after the event.

The last big example of a company suggesting that a covenant was not serious was Allco Finance with its market cap clause when it was triggered. Unfortunately the banks thought otherwise.