All four junk-rated notes were indicated lower on Monday, Bloomberg-compiled data showed. The August 2024 bond posted the biggest drop, down 0.6 cents on the dollar to 62.6 cents at 1:45 p.m. in Hong Kong, its biggest decline in more than three weeks. Of the four bonds, three were trading below the 80 cents-on-the-dollar mark typically considered distressed.
That step, if successful, would pave the way for low-growth assets to be spun off for cash, while allowing investors to bet on some of the company’s newer ambitions, such as semiconductors. The firm is seeking to pay back only a portion in cash, with the remainder of the principal deferred for three years, Bloomberg reported last week, citing people familiar with the matter. The proposal is part of a debt-restructuring plan that also affects other dollar bonds due in the next two years.Canada economic growth misses expectations, backing rate pause