On Wednesday Bloomberg ran a story , "Treasurers Embrace Pay-in-Kind Bonds as Ghost of Lehman Fading," detailing the reemergence of certain types of debt that looked headed for extinction in the wake of the financial meltdown.

But, yes, they are indeed back. I already wrote about this making me more than a bit antsy last month. 

The Bloomberg story talks to a bunch of money managers. And while it's always valuable to hear what they have to say, you never know whether they want in on something or out.

But even the bearish are rather reserved, which tells you that new developments have not created any sense of urgency. This time is different, I suppose.

Heck, I can practically hear Roger Daltrey screaming at the intro of "Won't get fooled again" in a quote from State Street's head of credit strategy: "I'm pretty confident that were an aggressive deal to come, or any sort of deal that has much looser credit standards or covenants, if it were to come by a company that had deteriorating fundamentals, investors would give that credit a difficult time."

What really caught my eye in the story were the comments from the execs at companies issuing pay-in-kind debt. On the whole, they sounded surprised that they got away with it.

"I'm looking at some of the things that are being priced and I'm saying, ‘Wow, how quickly we forget,'" JohnsonDiversey chief financial officer Joseph Smorada told Bloomberg. The market is "starting to get a little dangerously aggressive," he said.

And that's coming from a guy whose company sold $250 million of Pik debt with a B- credit rating.

Add to that what Karim-Michel Nasr, head of corporate development at Weather Investments SpA, told Bloomberg: "Six months ago I wouldn't have imagined being able to do this deal. It is an issuer's market, but in the sense that investors are looking for companies that are pushing maturities out, storing up cash for a rainy day."

Yes, it is once again an issuer's market. That's pretty incredible.

So how did we get here?

Edward Altman, a finance professor at New York University's Stern School of Business, explained that fund managers have little choice but to buy high-yield debt with looser restrictions as investors pour into the market.

That need is due to the fact that there just isn't enough product to go around. No one is really clamoring for securitized products , let alone their bastard offspring -- CDOs, CLOs and the like.

So, live it up, corporate issuers. The market will stop you before you go too far. It promises.