Repercussions of KPNQwest's Bankruptcy?

Atryn asks: "We are seeing more and more stories on KPNQwest's bankruptcy in Europe. Being on the other side of the pond, can anyone explain the ramifications of this large fiber backbone being shut down?" Slashdot originally covered this story back when the bankruptcy was announced. Now, a A 3-week stay of execution has been granted to the network. It will remain on until sometime in July, while the parent company tries to sell off its assets. As to the repercussions of the bankruptcy, ZDNet UK has some thoughts on the matter. Do you agree with them? Would you mind offering a few of your own? Update: 06/14 10am EDT by C :When this article was originally posted, 2 days ago, KPNQwest did indeed have an estimated three-week lifespan. Of course, that estimate has been cut down severely by recent events.

Comments

Re:DAMN Customers!!!!

[mckwant]

Usually, there's some sort of payment schedule stated in the contract:

i.e. "due the 15th, 10% penalty applies after the 20th" means that the payment will be made on the 19th. Obviously, the payer wants to keep his cash in his pocket until the last possible moment. The biller, of course, wants his cash immediately. So, occasionally, there'll be incentives for prepayment. i.e. 10% off if paid before the 10th.

or something. Obviously, the smart companies will look at all the potential payment schedules, and make the best decision for their organization.

Mileage varies widely, of course.