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Realistbear

Irish Bond Buyers May Lose 90% Of Their Investment

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http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8508514/Allied-Irish-investors-face-a-90pc-haircut.html' rel="external nofollow">

Allied Irish investors face a 90pc 'haircut'

Junior bondholders face losing as much as 90pc of the value of their investment in the debt of Allied Irish Banks as the Irish authorities look to impose more of the cost of rescuing their banking system on international investors.

Next time a PIIGS seeks money to keep them from default the bond investors will simply say no. Eurozone party may not last much longer.

Euros anyone? Heidi?

Edited by Realistbear

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Subordinated debt investors have been told by Allied unless they accept a restructuring plan involving them bearing more of the cost of the bank's losses they will receive just one cent for every €1,000 (£877) of the bonds they own.

I'd have thought you've would have gone with the 99% option.

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http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8508514/Allied-Irish-investors-face-a-90pc-haircut.html' rel="external nofollow">

Allied Irish investors face a 90pc 'haircut'

Junior bondholders face losing as much as 90pc of the value of their investment in the debt of Allied Irish Banks as the Irish authorities look to impose more of the cost of rescuing their banking system on international investors.

Next time a PIIGS seeks money to keep them from default the bond investors will simply say no. Eurozone party may not last much longer.

Euros anyone? Heidi?

What was the coupon ?

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I'd have thought you've would have gone with the 99% option.

Well I dont agree, but as we are only one percent apart, I wont split hairs with you.

The ECB arent going to like having to take this loss. Mind you, it gives them a chance to get used to losses, there are plenty more coming their way.

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What was the coupon ?

As nobody thought that they were likely to lose their money I doubt it was more that a percentage above normal savings rates for the time.

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http://uk.reuters.com/article/2011/05/12/uk-ireland-idUKTRE74B4ZD20110512

Ireland wants to reschedule debt issued under its EU/IMF rescue package and will not accept less favourable treatment than other bailed out countries in changing the deal, its public expenditure minister said on Thursday.

Ireland, which between 2011 and 2013 will borrow 67.5 billion euros (58 billion pounds) from its creditors at a maturity averaging 7.5 years, is seeking improvements in the terms to ease a debt pile inflated by bank bailouts and a yawning budget deficit.

Brendan Howlin told Reuters that a rescheduling of the International Monetary Fund/European Union portion of its debt would be desirable. "Long-term rescheduling of debt is something that would be desirable," Howlin, appointed in March to the newly created expenditure department, said. "We will deal with that."

Tick tock....

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  • 311 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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