PART TWO Debt refinancings may bring risks as well as benefits
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Income from debt refinancing involves some uncertainty
Income from debt refinancing involves some uncertainty
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The Code is voluntary and the private sector has stated that any changes could damage their commitment to it
The future flow of income from refinancing cannot be predicted with certainty
There are risks from the public sector taking its share of refinancing gains over time through a reduced charge
There can be additional liabilities following a refinancing
Half of the refinancings in our survey involved increased debt with most resulting in increased termination liabilities
Some contracts have been extended on refinancing, but it is difficult to be certain that existing services will be needed for longer periods