Section 30 Bank Loan Agreements

• Library: Business Transitions 2009 Supp

During the first quarter of 2009, the deepening economic slump sparked increased amendment activity with respect to existing credit arrangements. Lenders have used the opportunity to improve their positions both financially and from a collateral or risk standpoint by providing forbearance agreements in return for obtaining:

• amendment fees

• interest rate floors or margin guarantees to protect their profitability in the current low rate environment

• reductions...