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Reorg Radio

Americas Core Credit: Companies That Benefited from the Pandemic May Become Overleveraged

Aug 1, 2021
25:35
Snipd AI
The podcast discusses companies that benefited from the pandemic borrowing money, paying dividends, and going public. It also examines the potential trouble these companies and their lenders may face when consumer behavior reverts to pre-pandemic levels.
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Podcast summary created with Snipd AI

Quick takeaways

  • Certain companies took advantage of the pandemic by borrowing money, paying dividends to owners, and going public.
  • As consumer behavior returns to normal, companies that benefited from the pandemic may face financial challenges due to increased leverage.

Deep dives

Judge Swain approves Promessa DS to six-dimensional plan

Judge Laura Taylor-Swain has approved the Pareso Oversight Board's disclosure statement to the Sixth Amendment plan of adjustment for the Commonwealth, the ERS, and the PBA Title III debtors. The hearing discussed the oversight board's alternatives in case the Commonwealth fails to enact required legislation, which was criticized as uncertain and potentially expensive. The approval of the DS is a milestone in Puerto Rico's restructuring efforts, allowing for the debtors to prepare for planned confirmation in November.

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