well, BP’s market capitalization is now less than the worth of its assets, so yup, some form of default is coming. But Obama wants the default.
He sent Holder and an army of snakes (aka lawyers) down to the gulf instead of getting in front of this himself. There is a time for blame – that time typically comes after you deal with the disaster to avoid distraction. Leadership 101, guess they don’t teach that in ivy league schools.
Investors are fleeing from the stock leading BP to have no choice. Their bonds are trading at or below junk. They couldn’t even borrow money, but perhaps Obama could loan him some of our (printed) cash.
With $12B or so left in the piggy and $1.5B just in the containment effort… this looks aweful for taxpayers (the ones who will be paying for this).