same PIG, lipstick color to change

Discussion in 'Economics' started by Wallace, Jun 24, 2011.

  1. 'Exclusive: Banks discuss new Greek rollover plan: source'
    "(Reuters) - European banks and insurers moved closer on Friday to a voluntary
    rollover of their Greek government debt holdings, hoping to get around rating
    agencies' reservations and avoid a Greek default.
    National finance officials are discussing with banks and insurers a proposal to
    replace existing Greek debt with a different type of bond in a deal they hope will
    persuade credit rating agencies to refrain from declaring Athens in default of its
    obligations, two senior European banking sources told Reuters.
    The proposal foresees a voluntary rollover of debt into securities of a different and not
    comparable credit composition to avoid agencies moving Greece to default status,
    the sources said.
    "Only by a completely different composition of the bonds would the rating agencies
    see the restructuring as voluntary and not declare Greece insolvent," said one senior
    German banker." - more