Under U.S. GAAP, debtors in technical default may continue to classify their debt as long-term if the creditor grants a waiver before the balance sheet date.

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Under U.S. GAAP, if a creditor grants a waiver of the default before the balance sheet date, the debtor can continue to classify the debt as long-term, as the waiver prevents the debt from becoming due within the next year.

Under US GAAP, Debtors in Technical Default May Continue to Classify