There are alternatives... If the vote doesn't go through, then there are alternatives... YLO can repay $114 million of the credit facility and use the funds to buy the 2013's, and negotiate with the banks to ease the conditions on the credit facility. YLO can negotiate for a new credit facility (albeit with a higher interest rate) and use the funds to repurchase the A's on the market through a normal course issuer bid. If the dividends remain suspended, the share price should remain low.
As it stands the bond holders stand to lose a lot. It is in their best interest to get a deal that is fair to everyone...not just pad their pockets.