Original Message

American Securities (or the company set up to manage the acquisition) issued $500B in unsecured bonds to "buy" Air Methods.  The bonds were issued at $100.  Today, they trade at $5.  Yes, $5!  That means the market thinks the risk of default is high.  It may also mean that the company missed an interest payment.   So, how do you borrow money to "buy" another company if the debt you already have issued is almost worthless?