The telecom faces BRL 3.65bn maturing this year, BRL 10.85bn in 2016 and BRL 8.55bn in 2017, according to the company. “Without a renegotiation with creditors, the company cannot survive,” Pedro Guizzo, partner at financial advisory firm IVIX Value Creation. “One possibility to address the problem could be an exchange of debt for equity. A company leveraged like that can't lengthen its debt at a reasonable cost,” he said. According to Guizzo, Oi has been doing its homework, cutting costs and improving EBITDA margins. “However, the company has to make heavy investments and the capex will require half of the EBITDA.” Even if Oi decides to bring in the proceedings from the Portugal Telecom sale, it will not be enough, because the company will still be highly leveraged.