[pierrem15]

After the transaction takes place, that's true-- but before the transaction takes place you have to come up with the money to pay off the notes that are due. Where does the US get the cash?

What you're saying is like this: I have balloon note of $10K due on my truck, but I will buy a new truck and owe $10K on that, so my total indebtedness will not rise. OK, but how do I pay off the the balloon note before I get my new truck without $10K?

Think cash flow, not total indebtedness: to get the cash to pay off the notes, the US would first _borrow_ the payoff amount, get it?

[quimby]

fter the transaction takes place, that's true-- but before the transaction takes place you have to come up with the money to pay off the notes that are due. Where does the US get the cash?

Try this analogy. You are buying a house. You get laid off, but get unemployment. You can no longer make your house payment and the electric bill. So, you pay the house payment, but n0t the electric bill. Did you default on the house loan ?