Out of step

Hailed as an innovative solution to the problems faced by beleaguered telecomsstruggling to issue debt, step-up coupons have since become something of a poisoned chalice. Joanne Hart evaluates the troublesome legacy of a product of its time

stepup1-gif

In 2001, Europe’s state-owned or formerly state-owned telephone companies were in trouble. Having overspent in the late 1990s on projects such as third-generation mobile phone technology – condemned as a white elephant – and buying or building internet service providers – most no longer operational – the incumbents were encumbered with debt as the new millennium was dawning.

Despite, or indeed because of its parlous condition, the industry desperately needed capital. But at the same time bond

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here