Eircom is the riskiest large-scale borrower in the world

bealtine

http://www.rte.ie/news/2011/0926/presswatch-business.html

EIRCOM MOST LIKELY BORROWER IN WORLD TO DEFAULT ON DEBTS - Eircom is the riskiest large-scale borrower in the world, according to bond market data. Prices in the credit default swap (CDS) market show that Eircom is considered most likely to default on its debt of any name in the CDS market. The Irish Independent says that investors think Eircom is more likely to default than Greece, according to the market prices. Despite the risk of being hit with losses, bond traders say even some of the riskiest Eircom debt is still being traded. The cost of insuring Eircom's corporate bonds debt increased by 8.46% last week and is now the highest in the world of any big corporation or country. In theory, the mismatch between the amount of cash Eircom takes in through sales and the amount it owes is so bad it should be allowed to walk away from a proportion of debt. Under UK or Irish law, Eircom could be able to walk away from up to €1 billion of its debt if that means the remaining assets can be saved - that's if the least at-risk lenders think a deal is acceptable. But debt markets sources told the Independent that even more vulnerable bonds were still being traded - some for as much as 30 cent.

neiphin

maybe it can be taken over by nama
this state has no problem backing all the other gamblers

they can then sell the esb to o"reilly and see what sort of arse he makes of that

watty

They are worse than Greece?