Massive take-up of Greece bond swap offer

Comments (19)
RSDallas wrote:

Who do you believe in today’s news reporting? This is being reported 360 degrees differently in an article buried in the Telegraph.

Mar 08, 2012 8:28am EST  --  Report as abuse

If something goes around 360 degrees than it is in up in the exact same starting position.

Mar 08, 2012 8:44am EST  --  Report as abuse
Willvp wrote:

next thing is “they” are going to say that all of this is positive for everybody especially the pensioners, the children and the grandchildren

Mar 08, 2012 8:54am EST  --  Report as abuse
Dragos111 wrote:

Let’s see, in a default scenario the people who bought the bonds lose money, getting only a partial repayment. In this scenario, the people who bought the bonds are asked to take a haircut and accept a partial repayment. Sounds like smoke and mirrors to me. What do you want to bet that the reforms never come and any loans made now are just good money after bad?

Mar 08, 2012 9:57am EST  --  Report as abuse
Greenspan2 wrote:

The global financial crisis and its toll in human suffering that is particularly palpable in Greece was created by a corrupt and distorted form of capitalism embraced and exported by the United States that the rest of the world would be best to stay clear of.

Mar 08, 2012 9:59am EST  --  Report as abuse
wellernut wrote:

Greece will continue to spend, spend & spend. Far above their earnings. When the crash comes, which it will, who will bail out other EU members? China? Don’t think so. USA? With what?

Mar 08, 2012 10:09am EST  --  Report as abuse
DanAllen wrote:

“Everyone knows that the real problems of Greek society are in Greece and not abroad.”

If everyone knows it, then why the need to say it?

Mar 08, 2012 10:14am EST  --  Report as abuse
Willvp wrote:

And everybody knows that Germany can export because of a “relative low” Euro.
And that the southern Europe canNOT export because of a “relative high” Euro.

yes, schauble, but do you as a German also knows this? you player…..

Mar 08, 2012 10:39am EST  --  Report as abuse
mikemm wrote:

Banks and investors have to write off their losses when they occur and stop this trading and default swaps of toxic assets that eventually will still have to be written off by somebody.
This is basic accounting that everyone except these mega-companies has to do. You can carry losses over multiple years, but a loss is a loss, period. How they can somehow keep calling their bad investments assets defies logic and may help their executive bonuses, but everybody else gets holding the bag for assets that just aren’t there in any real sense.

Mar 08, 2012 12:17pm EST  --  Report as abuse

Does this mean that this fall we’re going to see BofA the other usual suspects standing on Uncle Sam’s doorstep begging for another handout when their participation in all this goes south?

Mar 08, 2012 12:48pm EST  --  Report as abuse
divinargant wrote:

In other words all you hold outs better get on board or stand to lose everything. Such BS. There is absolutely no transparency in this matter, so who among us can say with any certainity where it truly stands at the moment. Of course they’re going to report it this way to draw the hold outs in to the table. This much is certain, it’s not a done deal until the documents are signed and all the i’s and t’s have been respectively dotted and crossed. The backroom games are still in progress.

Mar 08, 2012 2:16pm EST  --  Report as abuse
Harry079 wrote:

Found this statement in a Bloomberg article:

“It costs a record $7.5 million in advance and $100,000 annually to insure $10 million of Greek debt for five years, according to CMA. Swaps pay the buyer face value in exchange for the underlying securities or the cash equivalent should a borrower fail to adhere to its debt agreements.”

Sounds like a pretty good game if the CDS’s don’t get triggered.

Mar 08, 2012 2:44pm EST  --  Report as abuse
Diction wrote:

Dear Reuters:

You can hurdle a barrier, or obstacle.

You can not hurdle a threshold.

What you do with a threshold is step over it, or reach it.

Yours for the English language.

Mar 08, 2012 2:58pm EST  --  Report as abuse

“Does this mean that this fall we’re going to see BofA the other usual suspects standing on Uncle Sam’s doorstep begging for another handout when their participation in all this goes south?”

Yes.

Mar 08, 2012 3:31pm EST  --  Report as abuse
NukerDoggie wrote:

Well, if I’m Portugal, Spain, Ireland, Italy etc etc I’m looking at this Greece debt default (that’s what it is, even if the swap deal goes thru) and thinking I’m going to shave bondholders bare rather than press my own countrymen into dangerous austerity measures that include big tax hikes and massive layoffs. Why should ANY politician in the PIIGS states risk his/her voter support by letting bondholders off the hook while squeezing every drop of blood from their own citizens????

Greece sets a precedent – no matter what ANYONE tells you otherwise. Here comes the moral hazard repercussions, the ‘haircut contagion’, where the other troubled states scream loud and clear for their piece of the debt-forgiveness pie.

Can you say SOVEREIGN DEBT TOXICITY and INVESTOR PANIC????? Damn well better learn to say it, because that’s exactly where we’re heading. No sane investor is going to hold sovereign debt for long after today. This will crash the financial system and the sovereigns as investors rush into REAL assets for wealth preservation.

Hang onto your asses, folks – it’s going to be a rough ride!

Mar 08, 2012 3:49pm EST  --  Report as abuse
BannedAgain wrote:

The idiots that lent Greece money deserve to get a buzz cut.
Of course those “idiots” weren’t lending Greece their own money. They were governments lending tax payer dollars and big money managers lending pension funds.

Mar 08, 2012 5:42pm EST  --  Report as abuse
scythe wrote:

ha – ha – haa!

all the doomsday poppets hang their heads in shame

@ RSDallas – the telegraph is a non-entity, spewing onanistic drivel like “I’m missing William terribly, reveals Duchess”

the telegraph appeals to pommies like this piece of literary miscagenation

http://englandexpects.blogspot.com/2011/05/onanism-for-euro-nerds.html

“england expects” …. onan the barbarian

Mar 08, 2012 6:01pm EST  --  Report as abuse
onlyif wrote:

@ scythe – i think it’s a little early to be calling game, set, match. Remember this whole thing will come unstuck if Greece can’t grow its economy. Which is looking like… game, set, match.

Mar 08, 2012 6:24pm EST  --  Report as abuse
giobt wrote:

That sounds great to lose 75% of the value, the world celebrates

Mar 08, 2012 7:14pm EST  --  Report as abuse
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