Exchange creditors

From ACT Wiki
Revision as of 19:56, 7 October 2018 by imported>Doug Williamson (Mend link.)
(diff) ← Older revision | Latest revision (diff) | Newer revision → (diff)
Jump to navigationJump to search

Restructuring and insolvency.

In a financial restructuring, exchange creditors are the creditors who agree to the restructuring.


They usually suffer a loss on the exchange of their original debt investments for other less valuable debt.

This loss is sometimes known as a 'haircut'.


See also