I used to work in IB and I'm not that surprised: * Revolving credit facilities tend to have the highest priority of corporate debt when it comes to going after

I used to work in IB and I'm not that surprised: * Revolving credit facilities tend to have the highest priority of corporate debt when it comes to going after assets in the event of default * RCFs are often about relationship management rather than making money as others have pointed out * Credit agreements (that set out the terms of RCFs) often include a lot of triggers/rules about how much can be drawn and at what rate to protect lenders. e.g. If revenues are below Y you can only borrow Z