Would, could, should F&N default?

FRASER and Neave's (F&N) alleged threats of voluntary default will come into focus this week as the company meets shareholders and bondholders to discuss its plans to list its property arm.

Bondholders are up in arms over what they feel is a deeply unfair attack on their rights, while minority shareholders wonder what all of this actually means for the business.

What those stakeholders have to do, however, is to look beyond the moralising and focus on more fundamental questions: What will it cost F&N to default, and what will F&N gain if it does so?