Maybe a small point, but here it is. Most of the LIBOR coverage I see does not talk very much about the impact upon commercial borrowers–tends to focus on home mortgages. I used to have clients who borrowed money from Wachovia Bank (now Wells Fargo) that were LIBOR pegged in the early 2000′s. These borrowers built assisted living facilities and said they had much better loan terms via LIBOR than other loan instruments. At the time I didn’t know what LIBOR was and so I did a little investigation. I learned that the terms of loans based on those rates were considerably more favorable to clients like mine and while they had the potential of suddenly rising (as stated ‘on paper’), the banks would go on to show you they also had a multi-year history of remaining flat and predictable when US domestic rates were bouncing all over the place. That is why Wachovia was pushing them to their favorite clients I suppose. My clients checked the LIBOR rates monthly during periods of high domestic fluctuation and liked what they saw, borrowed heavily to develop and build. I learned a few years ago that they also converted their financing out of LIBORS as soon as they could (this would have been pre-2007 or 2008).