SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Advanced Fibre (AFCI) ** IPO
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Bernard Levy who wrote (3044)7/11/2000 2:33:25 PM
From: lml  Read Replies (1) of 3299
 
At this point in time I don't see the CLECs necessarily going under, but rather subject to some consolidation. This in turn will mitigate the need for, or rather value of, LU's vendor financing, since larger CLECs should be able to obtain more attractive financing terms from various lending sources.

And, even if a CLEC did "go under," the more likely candidates to suffer with be the equity holders. Creditors generally stand ahead of equity holders in a Chapter 11 proceeding. The issue to LU would be how its extension of credit to a CLEC stands in position to other SECURED lenders. So the question I would ask is what security interests, if any, has LU perfected in any of its customer's assets as collateral for its loaned out capital.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News