RedEye9 wrote on Dec 8, 2022, 00:48:
"Elon Musk’s Bankers Consider Tesla Margin Loans to Cut Risky Twitter Debt"
The new margin loans would be backed by Tesla's stock to replace some of the high interest debt on Elons folly, his Twitter deal.

Now all Musk needs to do is to create some off-balance sheet vehicles to move those liabilities (and potential losses) off Tesla's books so the company's financials look great.

GE under Jack Welch excelled in that kind of accounting work. Notably, his successor Jeff Immelt pared back a lot of those special-purpose entities/off-balance sheet vehicles and GE's former amazingly miraculous profitability began to decline.

Enron also employed similar tactics although not on the scale of GE. For Enron, the main off-balance sheet vehicles were the Raptor I through IV entities designed to sequester the heavy losses from Enron Broadband Services, which had "taken strategic positions" in a variety of tech IPOs like Global Crossing, Avici, and others right at the end of the tech boom and just prior to the collapse of tech prices and dissolution of many startups. The Raptor vehicles "hedged" the losses against Enron's own stock price under the assumption that Enron's stock price would continue to rise. As Enron's stock price instead fell, the Raptor vehicles went underwater and losses should have been declared in late 2000, a full year before the collapse. Instead at year-end, Enron did a credit wrap to prop up the underwater Raptors against the 2 that were pegged against a lower Enron stock price that had not yet been breached. The overall decline in the stock market exacerbated by 9/11 triggered all the Raptors and a $1 Billion loss had to be declared - which wasn't actually the only billion dollar loss (Enron Energy Services and Enron International were both also carrying around $1 Billion losses each).

Corporation only doing the right thing after being exposed by media? This is my shocked face

"Elon Musk’s Bankers Consider Tesla Margin Loans to Cut Risky Twitter Debt"
The new margin loans would be backed by Tesla's stock to replace some of the high interest debt on Elons folly, his Twitter deal.