Here they go again!!!

[Dave]

Well, Avaya might be taken private once again and saddled with billions in debt.

https://www.reuters.com/article/us-avay ... SKCN1R50PR

A couple of days ago, Avaya stock rose 34% in a single day amidst rumors of another leveraged buyout. Even after the 34% rise in stock price it is still down 40+% in the last 52 weeks.

No doubt, if this happens, the Avaya executives will walk away will millions in their pocket and I would not be surprised to see Avaya go back into bankruptcy later (just like I predicted when they went private the first time).

I guess I really shouldn't care since I have zero skin in the game anymore (because PBGC took over the pension).

I just don't understand what financial institution would help fund such a thing. I had the same questions the first time and still can't figure it out. Guess one needs to have an MBA from Harvard to understand how taking on a shitload of debt and hiring executives who are incompetent and who bankrupted another company (e.g., Nortel) is a good thing.

[financegrunt]

I am not surprised at all that Avaya “management” is giving serious consideration to an approach from an unnamed private equity firm that values it at $5 billion.

And I am not surprised that Avaya’s public response is like the company, vague, misleading and disingenuous.

Then again it appears to be déjà vu all over again.

You know, I read somewhere that the definition of insanity is doing the same thing over and over again, but expecting different results.

As we know, in the case of Avaya, the only “winners” when this buyout happens will be current management and the blood sucking private equity firm. If bankruptcy were to ultimately happen once again, the only “winners” will be the first lien creditors.

Unfortunately, for future insignificant scapegoats like us, i.e., the general unsecured claim holders, the only thing at the end of the rainbow will always be pennies on the dollar because the Federal Bankruptcy Court is little more than a charade and/or a comical farce where lawyers bill hours for doing nothing of value.

So back-up the debt truck once again and dust-off the bankruptcy template.

Oh and someone should call the PBGC and let them know that the Avaya pension plan for represented employees is no doubt coming their way at some point.

I am so very glad that I am through with Avaya.

[vernlarson@cox.net]

Do not forget that the PBGC negotiated in order to take over the salaried
Pension Plan, Avaya had to ante up additional big millions of dollars plus
a sizable chunk of the new Avaya Stocks plus the Pension
Trust Fund. If it goes private at $20.00 a share then that
Divorce will close out the deal. Then PBGC has all it will get from
the Avaya Salaried Pension Plan take over.

Who knows what will happen to the Represented
(Union) Pension plans.

Like Yogi stated it’s ...