iron clad guarantee, AG will get the bank to refinance, page-33

Hedge fund would likely buy this debt at a discount and seek to heavily diluting debt/equity swap so they can:

• get defacto control of the company

• retain secured debt in the structure to the extent the business can service it

• dictate capital management policies (i.e. debt, equity, dividends, interest).

In such a scenario it is the shareholders who would suffer the greatest loss from such a technical default with the banks likely recovering most of their principal sum.

People who think the banks would appoint insolvency practitioners to a law firm and see clients scatter to the four winds (as legally a client can switch legal representation largely at their own whim) and see significant value destruction as staff leave and take files to other law firms are naive. I don't believe a CR is feasible - not sure how much money existing or institutional shareholders would be prepared to put into this business regardless of the discount to SP offered.