Comments on Distressed Debt Investing: Distressed Debt Research - Blockbuster TLB

Are you going to do a follow up piece on blockbust...

2011-02-23T12:42:20.789-05:00

Are you going to do a follow up piece on blockbuster. I read that blockbuster agreed to a sale of the business to secured lenders. What may the final recovery look like to secured lenders?

Hunter- what are your thoughts on the sub notes gi...

2010-01-05T20:24:30.943-05:00

Hunter- what are your thoughts on the sub notes given how the movie gallery bankruptcy played out? Seems like the sub holders in that case got pretty screwed in that deal, although there was more debt ahead of them in that case (and lower EBITDA).

Also, what do you think of Fitch's $537 million EV estimate for BBI given a 2.5x multiple of 26% lower EBITDA? They are forecasting 0-10% recovery for the Sub Notes.

I would apply to the DDIC to get your opinion on the sub notes but I am knew to the distressed space and going to try and learn some more before applying. Would appreciate a response here if you're up for it.

Hunter two questions: What is your opinion on Fi...

2010-01-04T15:38:50.806-05:00

Hunter two questions:

What is your opinion on Fitch's (9/15/09) $537 million distressed Enterprise value estimate based on 26% EBITDA discount and 2.5x multiple?

Also where is the best place to go to read up on the MVGR bankruptcy proceedings? I've found the court dockets on Bloomberg but tough to tell which would be of value, if any, without paying the extra $ to order them.

And yes I know the point of this post was to get people to apply to the DDIC-- and that you have a full write up on the sub notes in there. I'm new to the distressed area otherwise I would do just that. At some point I would love to apply.

In lieu of that now though, I'd greatly appreciate your opinion on the above 2 questions.

Thanks!

I have a full write-up on the new bonds and sub no...

2009-12-04T00:54:53.395-05:00

I have a full write-up on the new bonds and sub notes on the DDIC - I suggest you apply

Wondering what your thoughts are on the senior sub...

2009-11-19T14:00:12.453-05:00

Wondering what your thoughts are on the senior subordinated here, now that the company has refinanced $675MM and appears to have a credible plan for improving liquidity at this stage of the game. How would you think about estimating intrinsic value for this piece?

Bank debt is relatively illiquid and only moves in...

2009-11-19T10:23:40.597-05:00

Bank debt is relatively illiquid and only moves in large (often well over $10+ million) chunks. The bonds on the other hand probably can move in blocks smaller than $100,000.

"The sub notes are at 48.5 and might be worth...

2009-09-09T17:03:03.770-04:00

"The sub notes are at 48.5 and might be worth holding. The bank debt looks more attractive on a risk reward basis. But us little guys can not buy this. "

Why is this? Why cant the "little guys" buy the bank debt, isn't there a market for it?

The sub notes are at 48.5 and might be worth holdi...

2009-05-25T23:30:09.888-04:00

The sub notes are at 48.5 and might be worth holding. The bank debt looks more attractive on a risk reward basis. But us little guys can not buy this.

Other than that thanks for the great analysis.

I am currently long some Six Flags bonds trying to holdout. The alternative if the holdout does not work is likely a prepack in which cost of the bonds at 18 is recovered.

you mean you used to work in lbo's.

2009-05-25T08:50:32.792-04:00

you mean you used to work in lbo's.

I work on the buyside, lbo's, I'd be interested in...

2009-05-22T14:24:39.242-04:00

I work on the buyside, lbo's, I'd be interested in seeing a distressed model if that is possible..

I'd recommend LSTA's "Complete Credit Agreement Gu...

2009-05-22T14:00:25.045-04:00

I'd recommend LSTA's "Complete Credit Agreement Guide"... Very good from basics to details..

or letter of credit...

2009-05-22T10:41:56.263-04:00

or letter of credit...

I'm assuming Loan Covenants...

2009-05-22T02:20:28.800-04:00

I'm assuming Loan Covenants...

new to distressed debt...great blog. what are LC'...

2009-05-21T14:53:51.421-04:00

new to distressed debt...great blog. what are LC's?

Another interesting post, thanks. At some point, c...

2009-05-20T20:10:54.469-04:00

Another interesting post, thanks. At some point, can you do a post on covenants in credit agreements and indentures? Clearly it wouldn't be possible to cover everything, but something like a "top 5 things I look for" in credit agreements and indentures would be interesting. Also, any pointers on where I could learn more on the subject would be helpful. Thanks again for the blog.