Effectively the VIE structure means that equity holders have a somewhat indirect financial interest in the revenue and earnings stream and do not actually have a claim on the assets of the company in question.

FORBES: Looking at Chinese VIE's

It offers governments and taxpayers more security and it reassures counterparties, depositors and debt-holders who are higher up the capital structure and who get a bigger buffer between them and losses.

ECONOMIST: Banks need equity, not hybrid capital

Although new efforts are underway in Western capitals to make bonds more readily rescheduable -- by such methods as a dramatic reduction in the percentage of bond holders who must agree to a change in the maturity structure -- it may be too late for Russia.

CENTERFORSECURITYPOLICY: Center For Security Policy