Third stage of grief

27 March 2013 By Reynolds Holding Follow @holdingren

The country’s government has thrown many from the pram in its fight to avoid paying anything to bondholders unhappy with a default settlement. Now ministers seem to be considering paying with new securities. It might not win over holdouts yet. But it’s an encouraging sign.

This content is for Subscribers only

To access full Breakingviews.com content you must be a subscriber. Please use the following link to request a trial.

Context News

Argentina plans to offer holdout creditors a 25-year bond for the face amount of the debt that the nation defaulted on in 2002, an Argentine newspaper has reported. According to Reuters, Ambito Financiero says the nation will propose giving Elliott Management affiliate NML Capital and other holdouts about $450 million in 2038 par bonds and an additional amount in discount bonds to resolve litigation over $1.33 billion in defaulted capital and interest. The report comes two days before Argentina is due to respond to a U.S. appeals court order that it provide an alternative formula for repaying the bonds.

Email a friend

Please complete the form below.

Required fields *