Not sure it's such a bad thing, to be honest. Maybe they can make it a temporary 60 to 90 day moratorium.
Don't flame me, but the only reason I say this is because of these CDO mothers. Do you guys know what these CDO traders were doing?? They were buying these CDO swaps and shorting the stocks that they were against, so that the CDOs could land in the money! The way the CDO swap gained in value is when the likelihood of the company that they were against were more likely to go bankrupt! It was previously a protective play, not a speculative one!! I don't know, call me crazy, but that part of the system is f'ed up.
It's not a natural hedge -- it is subverting simple risk management to essentially force the flat price to go your way. Not cool.