Viktor, I am doing some reading around about PNA as I like their...

Viktor, I am doing some reading around about PNA as I like their assets/development/share price right now (read:cheap), but I am worried about their debt position.

With regard to sub debt versus secured senior debt, I would think that under the circumstances it would be easier to refi senior debt since there are assets backing it up and thus the covenant and interest rate charges should be better. But sub debt providers may just be more skittish and willing to topple the thing so that they do get some money before it all goes pear shaped. But maybe your idea is right that because they would lose alot, why rock the cradle just to have the baby die?

I suppose it all depends on what the loan docs say right? Did your conversations with PNA come up with anything more?
Cheers.....