Friday, March 09, 2012

A few Greek Debt Deal Details

by Bill McBride on 3/09/2012 07:43:00 AM

From the Financial Times: Investors back historic Greek debt swap

Participation in the €206bn debt exchange would reach 95.7 per cent, up from 85.8 per cent, if so-called collective action clauses are used ...
excerpt with permission
Next: There will be a conference call today of eurozone finance ministers to approve the use of the "collective action clauses". And then later today a decision is expected on if this will trigger CDS insurance (probably).

The completion of the swap deal means Greece will receive additional bailout funds and avoid default this month. But there are still many hurdles ahead.

Some analyst commentary from FT Alphaville: Greek PSI — the analyst reaction and Greek PSI — the implications.