Changing the names to protect the innocent, or avoiding the flak of angry bankers? In a recent research report on collateralized loan obligations, UBS Warburg used the example of a retail store chain called Northern to demonstrate how early in the loan market new participants had to learn some painful lessons. After some terrible structuring decisions, the final distribution to bank lenders was a nickel on the dollar for a loan to this company. Next to Northern is a footnote, indicating that the name of the troubled borrower had been changed. Not for Dragnet-style reasons, but to "cut down on the hate mail we receive."
