What can I say? If somebody's paying a premium for money, there's usually a reason.
Other than that, I don't know what the article means, because the author must have slept through his "expository writing" class and doesn't make clear distinctions.
It appears that BAC is toying with the idea of honoring only those obligations of Countrywide owing to the Feds, who are now in effect The Department of Welfare and Social Services to the BAC franchise. (Same with the article on in-house Fed or Treasury risk managers: the stereotypical family "on the dole" may not like their case worker but they've got to make nice anyway.)
Don't know what other obligations Countrywide had. I believe I saw various notes, preferreds, and some commercial paper in one of our money markets.
But the article just isn't clear on any of it. I brought it up only because it looks like yet-another piece of bad news waiting in the wings.