A default occurs when a borrowing company has not met one or more covenants or payments under its loan or bond agreement. Usually a borrowing company will inform its lenders prior to when a default happens that this may occur. In this instance the loan or bond agreement is usually amended by consent of the required number of lenders but in the event this does not happen and a borrowing company breaches a covenant or payment it will be in default. At this stage lenders work with the company to find an agreement to amend the terms of the loan or bond agreement in a way that is satisfactory to lenders or failing that lenders can enforce their security over the assets of the company. WiseAlpha will act as agent on behalf of all investors in the Notes in negotiations around amendments to the underlying credit agreement, where applicable. We will update you as to the status of any amendments to the underlying credit agreements and any corresponding changes to the economic terms of your Notes as a result.