Thriller with the "haircut" of foreign law bond exchange

The second part of the exchange of Greek bonds, the notorious PSI+, is about to turn into another “thriller”. That is because, as it became known, the Greek government decided to extend the process of the bond exchange subject to foreign law to April 4th.

As well-informed sources of Reuters indicate, the deadline for bondholders of such series of bonds, which are estimated at 8.7 billion, expires tonight.

This is not applicable to the total of foreign law bonds, since many bondholders agreed from the outset to participate in the PSI and at the same time voted for the CACs and thus were paid by them as well!

Please note that the Greek government had even threatened with a debt standstill if the bond issuances are left outside the “haircut”, with Evangelos Venizelos himself stating to foreign media that: “there will not be a reassessment or another offer on the part of the Greek republic”.