MercoPress. South Atlantic News Agency
Holdouts call on Argentina to settle debt payments and recall 30 July deadline
Aurelius Capital Management, one of the lead holdout creditors seeking to settle with Argentina over sovereign debt payments from its 2002 default, said on Monday the Argentine government faced a new crisis on July 30 unless it engages in real talks. Read full article
Comments
Disclaimer & comment rulesWow 2 weeks to go!
Jul 15th, 2014 - 07:42 am - Link - Report abuse 0Why dont you ask the Falklands for help...........
Jul 15th, 2014 - 10:05 am - Link - Report abuse 0The football's over- time to face reality.
Jul 15th, 2014 - 10:48 am - Link - Report abuse 0Will their new best friend Putin bail out Argentina?
Jul 15th, 2014 - 11:16 am - Link - Report abuse 0No, thought not.
It seems to me that these crooks STILL don't get it. They need to pay up, now.
Jul 15th, 2014 - 11:34 am - Link - Report abuse 0Ahh, there's the rub: they are stoney broke!
Roll on the default, hyperinflation and all the other disasters they have worked toward for the past decade. Despicable people, the Peronistas.
The “lost” century is here!
A great tribute to Bug-eye and TMBOA: I wonder if Maxximus Prattus can make it a family triple?
HA, HA, HA, etc: you get the idea.
Let's see argieland default. The debt will still be there waiting. If argieland can pay the Paris Club, why can't it pay the holdouts? If argieland can pay the “restructured” bondholders, why can't it pay the holdouts? Should the Paris Club back off its deal and tell argieland to pay the holdouts first. No more loans/credits to argieland. Is argieland hoping to get a loan to pay the holdouts? Could Judge Griesa rule any payment to the Paris Club to be an evasion of the court order?
Jul 15th, 2014 - 11:41 am - Link - Report abuse 0Arg is not sending anyone to NYC to negotiate this week. At this point it looks like they are setting themselves up to default. It may be because, as I predicted the SOY sales were not enough to make up for the HUGE drop in exports. They're done selling their only cash crop. There won't be any substantive influx of cash until next year unless they can get a loan but that is highly doubtful. The USA will continue to block disbursements at IDB/WB. Maybe they can get a bank consortium to loan them something at very high rates. Also doubtful.
Jul 15th, 2014 - 11:57 am - Link - Report abuse 0I think they have to default to save the small amount of actual cash they have to pay for imports. They may have enough to get them through the eoy. Maybe not.
Unions are pushing for another raise already this year. Recession is in full swing yet inflation is still trending into hyper inflation.
Wait for the massive layoffs being announced shorty.
Their future looks bleak.
The UTA transport workers' union has announced that drivers of long-distance coaches will begin an indefinite strike, ahead of the beginning of winter holidays on Monday.
Jul 15th, 2014 - 12:07 pm - Link - Report abuse 08 ElaineB
Jul 15th, 2014 - 12:43 pm - Link - Report abuse 0but but how will Nostrils get to the beach for his hols??
I just love it how the holdouts paint themselves as the good guys and saviors. Reality is these scumbags do not produce anything of service or use to people and make their money off the most impoverished countries.
Jul 15th, 2014 - 12:47 pm - Link - Report abuse 0If Argentina defaults Singer still does not get our money! :)
Just think at the improved terms they could have secured even recently had they negotiated ahead of the SCOTUS decision... But no, that would have involved thinking of a plan B.
Jul 15th, 2014 - 12:50 pm - Link - Report abuse 0Excerpt from The Negotiators Handbook (available in all good bookshops): “... secondly, if you've already backed yourself completely into a corner through arrogance and stupidity, this book is not for you. Sorry”.
10. You are looking at this process through the corrupted eyes of a scofflaw deadbeat.
Jul 15th, 2014 - 12:52 pm - Link - Report abuse 0Whether you default or not, Argentina has proved it is a recalcitrant debtor. The debt doesn't go away and since you've refused to be reasonable after given AMPLE opportunity the judge will allow assets to be seized beginning Aug 1st.
Argentina has plenty of assets to seize.
Watch and learn.
Argentina is attending the BRICS summit where its membership will be discussed.
Jul 15th, 2014 - 01:07 pm - Link - Report abuse 0Maybe they will give Argieland a cash advance from their proposed new BRICS bank ; )
http://www.bbc.co.uk/news/business-28255127
13. That's a joke right?
Jul 15th, 2014 - 01:10 pm - Link - Report abuse 0First they aren't a member
Second it will be years and maybe decades before it the bank is functioning
IF it ever gets established.
@13 The minute interest rates go up in the UK and US and volatility returns to the FX markets (amongst others) you'll find capital outflows from these countries. They aren't going to want to give their precious money to someone who can't be fcuked to pay it back...Also, Brazil don't want Argentina anywhere near BRICS as they know that Arg will try and trun it into some sort of quasi political union rather than a trading group. This is a non-starter from the moment.
Jul 15th, 2014 - 01:26 pm - Link - Report abuse 013. That's a joke right?
Jul 15th, 2014 - 01:32 pm - Link - Report abuse 0Yup : ) Hence the mischievous smiley in my post.
By their own actions Argentina doesn't really have any good options. It will be fascinating to see which one they choose. It's the RUFO clause that is killing them - without that they'd probably cough up
Jul 15th, 2014 - 01:46 pm - Link - Report abuse 0@17
Jul 15th, 2014 - 02:06 pm - Link - Report abuse 0Thoughful artice in Wall Street Journal looks at options, one of perhaps could have been a runner, avoiding the implications of the RUFO clause.
“Alternatively the holdouts could try to strike a deal that would delay any settlement until after the rufo clause expires. But unless Argentina agreed to a partial payment or an escrow deposit, that would require trust, which is in short supply when dealing with Mrs. Kirchner.”
But as the writer states - who would trust Argieland following the arrogance and defiance.
Yankeeboy & Wesh Wizard. I'm trying to be serious now : )
http://online.wsj.com/articles/ogrady-the-argentine-bond-mess-gets-messier-1405291417
They can't have both a signed agreement and avoid RUFO by eom July. Arg is waiting on Griesa to absolve them of RUFO ( out of bounds for judge) or give them another stay ( will never happen without consent of holdouts).
Jul 15th, 2014 - 02:11 pm - Link - Report abuse 0I would be his response is, here's another copy of the ruling maybe you should re-read it or get someone with an ounce of brains and common sense to explain it to you. bye bye
”( will never happen without consent of holdouts).”
Jul 15th, 2014 - 02:31 pm - Link - Report abuse 0The writer seems to imply that they could have obtained consent from the holdouts, if Argentina had acted in good faith, and made and interim deposit in an Escrow account & thus avoided RUFO. Would that have been possible?
If they deposited all the funds in escrow in cash including attorney fees, maybe if they don't sign anything
Jul 15th, 2014 - 02:45 pm - Link - Report abuse 0But if I were a holder of a restructured bond and they did something slimy like that solely to avoid paying me what they owe I would sue and I would most likely win.
At this point I think it is better for them to default and restructure everything under new terms AND hope the holdouts take the newly restructured bonds. Arg has to be serious in their negotiations and pay something attractive enough to get everyone to take it.
Thanks for that. 'Ist alles klar' - as a world champion winner would say ; )
Jul 15th, 2014 - 03:12 pm - Link - Report abuse 0@21
Jul 15th, 2014 - 03:34 pm - Link - Report abuse 0But that still leaves the question of whether the holdouts can seize any actual assets of Argentina? Does the Whacky leadership believe that they don't actually own anything that the courts can get to? They are almost acting like it...
@23 - They can and they will. LNG in international waters (thats been paid for), YPF shares etc...
Jul 15th, 2014 - 03:48 pm - Link - Report abuse 0Comment removed by the editor.
Jul 15th, 2014 - 04:02 pm - Link - Report abuse 0@24 - Please stop with your endless fcuking spamming. It's dull, you aren't saying anyting interesting and, most worryingly, you are posting on this board when you should be lying in a pool of your own vomit and joy at the Brandenburg gate celebrating your recent world cup win. Priorities man, for gods sake.
Jul 15th, 2014 - 04:24 pm - Link - Report abuse 0Argentina never had any intention of paying unless they were given ridiculous concessions from the hold outs or the courts would side with Argentina. Now unless the Virgin Maria descends from heaven with one trillion Dollars as a gift, the party is over.
Jul 15th, 2014 - 06:48 pm - Link - Report abuse 0And you know what...? ...the world will still bargain with CFK...
“ Argentina never had any intention of paying . . . ” Period. More accurate.
Jul 15th, 2014 - 08:23 pm - Link - Report abuse 0Just leave it at that.
26 WW
Jul 15th, 2014 - 09:28 pm - Link - Report abuse 0...“his” team lost on Sunday .
@11 Negotiating with the holdouts before the SCOTUS decision would have triggered RUFO which we couldn't afford.
Jul 16th, 2014 - 01:23 am - Link - Report abuse 0@21 That is probably what they planned from day one.
30. They should have taken care of this over the last 8 years. There was no reason to get to this point.
Jul 16th, 2014 - 12:08 pm - Link - Report abuse 0The problem with defaulting is that it will take them at least a year to set up another restructuring. A year is a long time when someone is trying to collect a debt and has the resources to make your life very difficult.
@31 I'm not sure if they could have taken care of this without triggering RUFO. The problem is that neither Nestor nor Lavagna thought the holdouts would go this far when they made the huge haircut.
Jul 16th, 2014 - 04:39 pm - Link - Report abuse 0only 2 weeks to go!
Jul 16th, 2014 - 07:15 pm - Link - Report abuse 0Time for protective clothing when they turn that fan on...
' 14 yankeeboy
Jul 16th, 2014 - 09:45 pm - Link - Report abuse 0Captaindismal, the weird looking guy, claims today that loans in the BRICS bank will be available to them from 2016: however, the latest edition of BsAs has rowed back from that claim.
Tipping their hand too soon perhaps?
Seen the latest from Griesa:
http://www.buenosairesherald.com/article/164741/us-judge-griesa-calls-for-new-hearing-over-argentine-debt-case
34. I lost track of the count on how many Kidiots today were screeching they'd never default.
Jul 16th, 2014 - 10:26 pm - Link - Report abuse 0Which means they are absolutely going to default.
The best thing that could happen for Argentina is Griesa lets NML seize the money at BONY. At least that shouldn't trigger RUFO and then they're 1/3 payed.
32. They've got to give up trying to slime out of RUFO. They lost and must suffer the consequences of the take it or leave it deal they offered to everyone. They should default and re-open an exchange, let a legitimate bank manage the negotiations and get this behind them once and for all.
But that's the sane and adult thing to do so I don't expect that to happen with CFK around.
Putin has already said NO to Argentina joining yet TMBOA is practically salivating over the (false) chance of getting her sticky fingers on someone else's dosh...
Jul 16th, 2014 - 10:41 pm - Link - Report abuse 0Meanwhile back on the ranch;
”When trying to make imports expensive to reduce them, the president forgets that Argentina, in order to produce locally, needs products from other countries. If, for example, an owner of a small enterprise needs to import some materials from another country to use in his own production process, the lockdown on imports will impede his local production. This translates into an attack on the domestic industry, which directly contradicts the official political discourse often heard from government officers.
Now, for several months Argentina has not met the global standards of international trade, as it has hidden behind protectionism. It is no coincidence that the World Trade Organization (WTO) sees Argentina as a violator of trade rules, given open opposition to imports.”
Reminds me of VZLA...
more here
http://panampost.com/ivan-cachanosky/2014/07/16/import-restrictions-spell-disaster-for-argentinas-economy/
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