http://www.creditwritedowns.com/2009/04/gm-offers-a-debt-for-equity-swap-to-bondholders.html Finance, Economics and Markets Fri, 10 Feb 2012 00:37:00 +0000 hourly 1 http://www.creditwritedowns.com/2009/04/gm-offers-a-debt-for-equity-swap-to-bondholders.html#comment-56287 Edward Harrison Tue, 28 Apr 2009 01:38:00 +0000 http://www.creditwritedowns.com/?p=8137#comment-56287 @CreditTrader, that is interesting. What about its being voluntary makes it questionable? Of course that leaves some to game the system like PIMCO did in the GMAC deal. I would imagine it would be a default if the exchange were an involuntary swap. @CreditTrader, that is interesting. What about its being voluntary makes it questionable? Of course that leaves some to game the system like PIMCO did in the GMAC deal. I would imagine it would be a default if the exchange were an involuntary swap.

]]> http://www.creditwritedowns.com/2009/04/gm-offers-a-debt-for-equity-swap-to-bondholders.html#comment-56284 CreditTrader Mon, 27 Apr 2009 17:56:00 +0000 http://www.creditwritedowns.com/?p=8137#comment-56284 Hey Ed, the 'voluntary' nature of the exchange does indeed make it uncertain as to whether CDS will be triggered (think RESCAP last year) and we note that 5Y GM is 4pts better today at 84/86% upfront...They only have $2.7bn outstanding which interestingly is around 10% of the notional bonds outstanding. Hey Ed, the ‘voluntary’ nature of the exchange does indeed make it uncertain as to whether CDS will be triggered (think RESCAP last year) and we note that 5Y GM is 4pts better today at 84/86% upfront…They only have $2.7bn outstanding which interestingly is around 10% of the notional bonds outstanding.

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