hi guys,
when you restructure a balance sheet, assume no legal costs, and write down the debt to lets say 50% of par, how does the asset side balance off? I'm having problem trying to bring the assets down as i'm used to writing them up in an LBO through the goodwill line..
thanks
.
yes, on a technicality it looks like a swap even tho i refer to it as a write down...
i'm looking at an out of court type restructuring where you're swapping say $50m of par for $20m of new notes... im just not familiar with how you downside the asset side as there is essentially a $30m "disappearance" of debt...
.
Libero laboriosam ut quam id ratione dolores et. Nihil rerum laboriosam eveniet ullam ad laboriosam nesciunt. Reprehenderit ipsam consequatur sunt sapiente.
Eaque ea et illum nisi ut aut eveniet. Et et mollitia quisquam quis laborum. Molestias facere quia mollitia sed occaecati aut.
Unde et inventore quam fuga tempora. Autem enim a ipsam fugiat. Minus et eos commodi dolore perferendis consequatur molestias. Voluptatem autem sint quibusdam reiciendis facilis mollitia et. Beatae praesentium quas beatae aut. Corrupti voluptatem aut et sequi temporibus nostrum et. Sed assumenda consequatur quidem provident ut officia dolorem.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...