This paper asserts that the wedge between the prices faced by different participants is primarily a result of different valuation methods employed by banks and distressed-debt investors.
Link
http://econpapers.repec.org/scripts/redir.pl?u=http%3A%2F%2Fwww.imf.org%2Fexternal%2Fpubs%2Fft%2Fwp%2F2004%2Fwp0486.pdf;h=repec:imf:imfwpa:04/86