Shale Company Defaults On $175 MM In Bonds Without Making A Single Interest Payment

Shale Company Defaults On $175 MM In Bonds Without Making A Single Interest Payment (ZeroHedge, March 5, 2015):

Update: And just to prove that people are indeed, idiots, moments ago this hits:

ENERGY XXI GULF COAST, INC. PRICES UPSIZED PRIVATE OFFERING OF $1.45 BILLION OF 11.000% SENIOR SECURED SECOND LIEN NOTES DUE 2020

Back in August 2014, yield-starved bondholders were delighted to give American Eagle Energy $175 million in cash, and why not: the company promised them an 11% annual cash coupon.  Seven months later the company is in default, and the same bondholders are looking at an 80% loss, without receiving even one coupon payment.  Movie Gallery anyone?

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