Greece says investor losses from debt swap may top 70 percent

Greece's Finance Minister Evangelos Venizelos addresses reporters during a briefing in Athens January 31, 2012. REUTERS/Yiorgos Karahalis

Greece's Finance Minister Evangelos Venizelos addresses reporters during a briefing in Athens January 31, 2012.

Credit: Reuters/Yiorgos Karahalis

ATHENS | Tue Jan 31, 2012 1:12pm EST

ATHENS (Reuters) - Greece's private sector creditors could take a loss of more than 70 percent in a planned debt swap, Finance Minister Evangelos Venizelos said on Tuesday.

"There is a very serious discussion based on new facts. We are talking about a PSI much greater than the original," he told lawmakers, referring to private sector involvement in the deal.

"We are talking about a haircut on the net present value exceeding 70 percent," he said.

(Reporting by Lefteris Papadimas; Writing by Ingrid Melander; Editing by Ruth Pitchford)
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Comments (6)
Ashishnfl wrote:
Its called ” DEFAULT ”

Jan 31, 2012 1:23pm EST  --  Report as abuse
Harry079 wrote:
The private sector investors should then just hold out until Greece defaults and they can then try and collect insurance(CDS) on there holdings.

See what that gets you.

Jan 31, 2012 1:23pm EST  --  Report as abuse
Ashishnfl wrote:
So 100 percent loss to investor. Then why sell fake insurance called CDS in first place isn’t it suppose to be dollar for dollar when is 30 cents to dollar is not default. Holding on to CDS TILL 2013/2014. Watching kicking the can game by central banks till then.

Jan 31, 2012 1:31pm EST  --  Report as abuse
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