Private Equity
About three months after a controversial debt deal rewrote the rules of the leveraged-loan market, tilting the landscape in favor of distressed borrowers and pitting creditors against each other, another transaction has pushed the newly established precedent even further. The deal last week -- a $120 million loan to cash-strapped restaurant supplier TriMark USA -- not only unilaterally placed the new lenders above everyone else in the repayment pecking order, but it also stripped some of the older creditors of safeguards they had written into the contracts to protect their investments, according to people with knowledge of the matter.

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