Welcome to the new version of European Tribune. It's just a new layout, so everything should work as before - please report bugs here.
Display:
I wonder where the "no bondholder bail-ins before 2013" comes from. Is it that 2008-13 is a five-year period that they think a priori will allow banks to make their balance sheets whole to the point where they can take a default without blowing up?

That is the only thing that makes sense of the provision. And it is confirmed by the howls from Germany over StressTest 2.0. And, per Basel II definitions many of the Landsbanks will have to be capitalized, not re-capitalized. Has their capitalization to date consisted of "the full faith and credit" of their state governments?

As the Dutch said while fighting the Spanish: "It is not necessary to have hope in order to persevere."
by ARGeezer (ARGeezer a in a circle eurotrib daught com) on Mon Apr 11th, 2011 at 11:28:06 AM EST
[ Parent ]

Others have rated this comment as follows:

Display:

Top Diaries

In which I defend Wolfgang Schäuble

by rz - Jul 15
24 comments

I'm done with the EU

by tyronen - Jul 13
228 comments

The Greece Blame Game

by Frank Schnittger - Jul 20
30 comments

The democractic insolvency

by rz - Jul 16
23 comments

Scape goating Greece

by Frank Schnittger - Jul 13
25 comments

Occasional Series