Greece has been obliged to extend again the deadline to complete the remove of some of its debt by the opposition to participate in a minority of Greek bondholders issued under foreign law.
“The Republic extends the period of the deadline of its offer to 21.00 (CET) on April 20, 2012,” the finance ministry said in a statement issued last night to creditors.
This is the second time that Athens has to postpone the deadline at the refusal of bondholders to voluntarily get rid of your debt, as already previously postponed the closure of the offer from March 23 to April 4.
The plan removes, officially known as Private Sector Involvement (PSI), for the acronym), involves the replacement of Greek bonds by other a little less than half its value so that helena debt more sustainable.
A total of 206,000 million of restructuring more than 360,000 million euros to the Greek debt amounting.
The process is done in two parts: first, the bonds issued under Greek sovereignty, involving 177,000 million, and secondly, about 29,000 million in securities legislation Hellenes under British, American, Japanese, French and Swiss and a smaller share of securities issued by Greek state enterprises.
The 177,000 million euros have already been exchanged for the bonds depreciated for the period ended on March 8.
85% of those eligible bondholders agreed to voluntarily remove the rest were also required to participate in the exchange through activation of so-called Collective Action Clauses (CAC).
However, in the case of bonds under foreign law, the Greek government has no power to use the CAC, so had to give more time for the number of participants is greater.
In its statement, the Economy Ministry reported that holders of 20,200 million euros in Greek bonds under foreign law did accept the offer.
This figure was already advanced in early March, which means that subsequent negotiations since then with the remaining creditors holding about 9,000 million have not been fruitful.
The Minister Government spokesman Pantelis Kapsis, warned this week of creditors reluctant to “the offer is the best and there will be no better.”