Companies that may require a loan modification in the next few months should be looking, right now, at exactly what covenant relief they will need, and what concessions lenders may demand in exchange.
History suggests deflation is unavoidable in the near term, regardless of central banks' attempts to forestall it. Some companies will falter, but others are positioned to survive or even thrive.
Some corporations have turned to pricier term loans or new credit lines rather than tapping existing ones, typically to stay in the good graces of lenders as recession looms.
