Senator Max Baucus D-Montana included a provision in the stimulus package allowing companies to defer income taxes triggered when they repurchase their own troubled debt at a discount.
What's the big strategy of private equity underwriters (PEU's)? Buying affiliate distressed debt on the cheap. Manor Care, owned by Carlyle Group, is attempting to purchase a portion of its debt for cash. Not only do companies lighten debt loads for pennies on the dollar, Max offered a tax break for doing so, $26 billion worth. No wonder Blackstone's Steve Schwarzman was so enthusiastic about CMBS repurchasing in today's CNBC interview with Maria Bartiromo. Pfftttt!
I shouldn't be surprised. Dirty Max accepts donations from eight for-profit health care companies with no, zero, zippo, nada facilities in his state. Yet, he doesn't accept e-mail from citizens outside Montana. Who knew a corporate check had more rights? Welcome to American corporatocracy!
What's the big strategy of private equity underwriters (PEU's)? Buying affiliate distressed debt on the cheap. Manor Care, owned by Carlyle Group, is attempting to purchase a portion of its debt for cash. Not only do companies lighten debt loads for pennies on the dollar, Max offered a tax break for doing so, $26 billion worth. No wonder Blackstone's Steve Schwarzman was so enthusiastic about CMBS repurchasing in today's CNBC interview with Maria Bartiromo. Pfftttt!
I shouldn't be surprised. Dirty Max accepts donations from eight for-profit health care companies with no, zero, zippo, nada facilities in his state. Yet, he doesn't accept e-mail from citizens outside Montana. Who knew a corporate check had more rights? Welcome to American corporatocracy!
