As credit market turmoil continues to unfold, the landscape for securitizations, syndications, mergers, and acquisitions also continues to evolve and change.
'Perfect Pay' Provisions in Troubled Credit Markets
In the current era of credit uncertainty spawned by the subprime mortgage crisis, perfect pay provisions may be subject to changes as banks, leasing companies, hedge funds, and other financial institutions to which these payments have been sold or pledged ('Funders') tighten credit standards and re-examine transaction risk, particularly in syndications of interests in leases and loans.
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