DISTRESS WATCH: The LME Deal Frenzy Is Carrying Over Into 2025

Global credit markets entered 2025 with gauges of credit risk hovering near some of the lowest levels since the ZIRP era and default rates projected to decline over the next few months.

One big reason that those default rates have remained high are liability management exercises, which showed little sign of slowing down as the year ended.

Radio and podcast company iHeartMedia and blinds maker Springs Window Fashions were among firms that completed LMEs in December, helping push such out-of-court restructurings to more than 30 for 2024, data compiled by Bloomberg show.

While LMEs give companies more time to ...