Bond-holders who own debt in Countrywide (CFC) have assume that Bank of America (BAC) would take those obligations on and that they would get paid out. Maybe not.
According to Bloomberg. “There is no assurance that any such debt would be redeemed, assumed or guaranteed,” the Charlotte, North Carolina-based bank said in an April 30 regulatory filing.
If the bond-holders push to be taken care of, the matter could end up in court. And, the deal to buy Countrywide could be killed.
Douglas A. McIntyre