In 2006, the Financial Accounting Standards Board adopted new pension accounting guidance which required that, effective year-end 2007, pension and retirement-benefit plan surplus and deficit funding be disclosed on corporate balance sheets as an asset or liability, respectively. The new accounting, however, might adversely affect the ability of some businesses to satisfy their debt covenants on existing loan agreements. Consider, for example, Electronic Data Systems (EDS), which faced a debt covenant of a required minimum level of \($6.42\) billion in shareholders’ equity. (EDS’s shareholders’ equity was \($7.5\) billion.) Under the new FASB pension accounting, EDS would be required to add \($1.08\) billion to its liabilities due to a pension plan funding deficit and also reduce its shareholders’ equity to exactly the covenant minimum of \($6.42\) billion. Discuss how EDS should respond to the new pension accounting with respect to its creditors