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Troika Offers Greece Third Bailout Program, Prepares Emergency Plan If No Deal
On the heels of Thursday's failed Eurogroup meeting and heading into what is again being presented as an all or nothing, "Lehman weekend" for Greece and its creditors, reports suggest the troika has offered Greece a third bailout program:
- GREEK CREDITORS OFFER EU15.5B OVER NEXT 5 MONTHS: HANDELSBLATT
- ECB, IMF, EU OFFER GREECE 3RD AID PROGRAM: HANDELSBLATT
- GREECE’S CREDITORS PROPOSE EU15.5B TIED TO AID DEAL: OFFICIAL
Here are the details, according to Bloomberg (citing an unnamed EU official):
EU creditor proposal foresees EU8.7b in EFSF funds: official
Creditor proposal foresees EU3.3b in SMP profits: EU official
Creditor proposal foresees EU3.5b in IMF funds: EU official
If true, this would mark a dramatic about-face for the IMF which had suggested it would not be interested in participating in a third Greek program. Similary, lawmakers in Berlin have voiced their opposition to a third bailout program for Athens as the German public has grown tired of throwing money at the Greek 'problem.'
As for the specifics as outlined above, note that if Greece receives €3.3 billion from SMP profits it will mean that the ECB has forfeited the money it made on the Greek bonds it purchased in the past, effectively allowing Athens to repay the central bank with its own money. As for the EFSF funds, it's long been suggested that bank recap funds could be chanelled to Athens under the 'right' circumstances and apparently imminent default is as good an excuse as any.
At least one analyst who spoke to Bloomberg doesn't see this as a viable long-term plan (of course there are no viable long-term plans for Greece, so one can-kicking exercise is probably just as good as any other) and also notes what we've been saying for months which is that after July, the focus will shift to elections in Spain and Portugal set to take place later this year:
The program extension proposed by Greece’s creditors looks like another can-kicking exercise to win some extra time at the very last second of the negotiations, Sunrise analyst Gianluca Ziglio writes in e-mailed comments.
EU15.5b should cover all the debt owed to IMF and ECB due to mature until December
This will do nothing to solve the Greek problem
Can’t see how Greece could take the bait unless they get really scared about a potential Grexit, since that has never been their spoken goal
The viability of the offer really depends on the contents of the third program and that we still don’t know
May find ourselves back in the same situation during the electoral period in Portugal and ahead of Spanish general elections
European finance ministers will meet again on Saturday. Angela Merkel, who met with Greek PM Alexis Tsipras and French President Francois Hollande on Friday, has indicated that a deal must be struck before the market opens on Monday. Here's a bit of color from Reuters:
The leaders of Germany and France discussed extending Greece's bailout programme and providing financing with Greek Prime Minister Alexis Tsipras on Friday on the eve of a decisive meeting of euro zone finance ministers, a French source said.
Chancellor Angela Merkel and President Francois Hollande had a private meeting with Tsipras before the final session of an EU summit in Brussels, urging Greece to accept a cash-for-reforms deal on Saturday to unlock frozen aid and avert a default.
"On the substance, the gap is not so wide. They discussed what has to be done today and tomorrow to conclude on issues still to be settled relating to reforms, the extension of the programme and the question of financing," the French source said after the roughly 45-minute meeting.
Both Merkel and Hollande stressed that Saturday's meeting of the Eurogroup was the decisive moment for a deal and there was no need for another euro zone leaders' summit, the source said. If necessary, they would have further contact with Tsipras before finance ministers meet at 5 p.m. (1500 GMT) on Saturday.
As for the finance ministers who will attend that meeting, they are preparing for the worst:
- EUROGROUP PREPARES EMERGENCY PLAN IF GREECE REJECTS OFFER:SRCE
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Even a gaggle of prostitues make fewer offers. But then banksters are whores on steroids and cocaine.
On an unrelated topic -- what would happen if two gays wanted to have a Confederate Flag wedding cake baked for them?
If this is free money, then Athens should take it, and advertise it as such.
Give PODEMOS and the 5 Star movement in Italy as much ammo as possible.
I was looking for the “We are saved” clip off of YouTube, but this one is great, too..
IT'S ALL GREEK TO ME.
https://www.youtube.com/watch?v=w0Ht-eM1QWI
4 days past the redline in the sand......and I feel fine.
I got a question. Who actually reads more than the bullet points on anything Greek anymore?
pods
I Can't Believe Shit Until I Hear The Sweet Words:
"WE ARE PREPARED TO RESUME PRINTING THE DRACHMA CURRENCY AT ANY MOMENT" ...
Merkel, You Will Get All Your Money, Many Many Drachmas...
TZIRAPIS, Take The "Emergency Plan" And Run.
Hasn't the very heart of the Greek position on this been that they were lent too much money? And now they would consider borrowing more without any haircuts on the old stuff? I don't see how they could get that through parliament.
EMERGENCY PLAN: LOL....slip the date rape drug into TSIPRAS' drink...get a beautiful woman to get him to sign a document agreeing to 40 billion Euro paper increase in his liabilities, while we load up the armored cars and deliver the 40 billion to Euro Banks. Because there's no other way for the Euro Banks to absorb the loss tsunami which is right around the corner.
Nope. Just the headline. Then straight to comments section for the usual comedy.
"gaggle of prostitues "
Maybe you knew one of "Whispering Bushes" of Glyfada ..
Tsipras was not elected to take another bailout that leads to more of the same, and a loan is not a bailout, particularly if the money is created by the creditors to pay back the creditors but increases the debt load of the debtor. True default is what the bankers fear, so scare them!!!
This is the best explanation of the Greek Crisis... ever. From 2012 this never gets old dudes.
https://www.youtube.com/watch?v=YNA2VG_piUo
I got another one for you, though a bit longer (an hour) and on a bit more serious note: George Friedman, analysing Europe during the 20th century, being forced by the US to unite after two world wars and how the EU started on the wrong premises and why it is failing to work today. Brilliant exposé!
https://www.youtube.com/watch?v=r-8KV_GurLY
RT..
I haven’t seen that particular C&D before.. I guess I just have not been keeping up with the best talent that our great partners with the absolute best coastline I have ever been priviledged to wiggle around in down under have to offer;
But I think I might have to hunt you down and sue your ass because after the Euro/Religious comment I fell down on the floor and could barely breathe.
..and the private company fire at 4:00 a.m almost did me in.
But thank you anyway.. what doesn’t kill me makes me stronger.
:-D
Markets look doubtful of this news as there is little movement in the Bund and S&P futures on this news.
http://www.investing.com/rates-bonds/euro-bund-streaming-chart
Markets will rise. Give it time. Greece will get it's loan to pay back the interest on it's outstanding loans. All with freshly printed money out of thin air. Banks must hold this garbage on their books at full value. It's all bullshit!!!
I don't think so.
I think it will be moar like "STOP THE INSANITY" this time
However, it will stop like like a freight train running off the tracks..
Wouldn't you love to know the time frame. Like for sure, this time I mean it?
It's all bullish! There, FIFY
Its a process.Once Greece has been adequately disparaged as the dead beats that they are, they will be qualified as officially "underprivileged" and qualify for the EU's version of entitlements. Once designated as part of the oppressed social underclass they will automatically qualify for funding without strings. We saw the same thing happen to black Americans, the conversion of a problem into an institution, a special protected class all of their own.
All that is important is power, and as this photo clearly shows "the club" is all that matters. Each shit storm they create gives ever greater power to intervene and impose their will as an act of courageous charity. The European union is the ONLY thing that is important here. Even those fighting against are eventually consumed by it, either destroyed or corrupted. The EU had been printing Euros and bribing every state and local official and agency to be their subordinates. None of them will surrender this largess for the sake of those they claim to serve and represent. None of them. The European Union will survive if those leading it have ANYTHING to say about it. Their power is all that matters. Have we not had this very discussion regarding our own civil war? It is ALWAYS about greater power. Money, such as it is and whatever it is, is but a tool, a weapon. Watch how they wield it, cut the achilles tendon and watch them squirm.
FFS!!!
Zero Hedge & the fucking drama! This is all Kabuki Theater. Greece will be "bailed out" 100% guaranteed - it'll be done at the 11th hour to make it appear as if it were the byproduct of "tough & arduous, back and forth negotiations, where everyone had to concede a lot blah blah blah blah..."
Why Zero Hedge keeps pushing the drama & suspense over what is a foregone conclusion is for everyone here to analyze (hint: clickbait).
Sure its click bait. Sure Tyler is profiting off all of us wanting this thing to finally collapse. I have no problem with it either.
Between ZH and Gregory Mannarino, x22, SGT & Finance & Liberty -- I am just as happy as a pig in slop.
Why Zero Hedge keeps pushing the drama
This isn't happening....nothing is real.
So please stop looking.
Yes but why are the Troya so desperate to do a deal? Are they paranoid that Tsipras and Putin have done a deal and have a back up plan that leaves the Greeks with a winning hand?
because the european banking system would collapse if the greeks go down
and they, in turn, would take the rest of the world with them
I hate to part with this gold star.....but.....here you go!
Phoenix Capital & Zero Hedge should merge - and hire doomsday economists Faber, Kunstler, etc.:
U.S. economy on schedule to crash March 4, 2014
America’s fall will take global economies with it
http://www.washingtontimes.com/news/2012/oct/25/us-economy-on-schedule-t...
http://www.newsmax.com/Finance/MKTNews/Massive-wealth-destruction-econom...
Don't forget about USWatchdog.
My playlist to listen to at work;
http://de.tinypic.com/r/2eyccbq/8
(Gregg Hunter is in there)
If you want the lulz, then bullshitkorner is good stuff, as it theoldmarine1
The other day, someone used the term "Greecehog Day". Very apropos, imo.
Let's remember that this is not about bailing out Greece, it is about bailing out Greece's private bank creditors. The banking cabal will not be denied. If you try, then you're dead.
Time for the "Juncker Commission", because sometimes, you just need to straight up LIE.
I really really want to see a picture of Tsipras riding around on a Greek golf course reviewing the Troika proposal from the golf cart between shots and a cold drink from the ice chest....but definitely not letting it interupt the momentum of the game.
It would bring a new meaning to "...way down South in Dixie" ?
What? Mail Confederate Flags to Obama?
What is Reggie still hangin' with "O"? Been away for a while so I'm trying to catch up.
#confused
That's a tough one. Only thing you could be certain of is the baker would be sued if he refused to bake it. Gays a special protected class now with a different set of rules.
If at least one of them is black they will become Time magazines "person of the year" .
We're done here!
It was just a nightmare.....and you have woken up.
Now that explains why I feel so tired!
c'mon..time to face facts..get out of the sinking €uro ship. sure it'll hurt, so will staying in.
As far as Greece is concerned this new bailout is all free money. Why not take it? The can't and won't pay the existing debt. No one really expects them to pay this new debt but the game continues for another 5 months and those in the know can position themselves for when the final card is played. The latest plan is for Germany and the IMF to get as much as they can in the next 5 months. Of course, if they don't feel sufficiently covered in 5 months, they can always extend another 5 months. The printing presses never run out of ink and paper.
Before deciding to take it, ask the question: How much of it stays in Greece, and how much goes right back out to creditors?
I promise not to cum in Euro mouth.
"free money" what an oxymoron if ever there was one --- so no strings attached then?
One has to wonder how all these people in charge of the EU/ECB/IMF, etc handle their own personal finances.
You mean YOUR finances, that become theirs
We call it......get this......a bail-in.
How cute is that?
So Greece is saved again? I can buy now, right?
So no deal then, since the only deal that can ever work is default on the debt
Why aren't the EU, ECB and EZ co-signing the IMF loan to Greece?
It is about time the non-European members of the IMF stop the nonsense. Greece is part of a Union of countries who refuse to take responsibility for their actions.
What a plan...give Greece more money that will never be paid back.
Troika all bent over a fence takin Greek dick. Tsipras will enjoy the moment but won't sign nothin till he has them knealing in front of him while the world watches.
Ouch, the pain of Spain's greek aunt falls mainly on the plains of Eurobanking!
Tighten your seat belts core Europe!
Told you so.
The Greeks could collectively do a crotch-grab and the middle finger to Germany and the IMF/EU, and they would still get bailed out. They could say, "No seriously, we're NEVER paying you back" and they would still get money.
If Greece goes away, the entire EU experiment goes away. The socialists will never allow that.
Throw those deadbeat Greeks out of Europe already
They know if Greece leaves, France leaves, and if France leaves Spain Leaves.
Then if you dont have Greece, France, and Spain in the Euro, it doesn't make a whole lot of sense to HAVE THE EURO lol
Which would leave Germany up shits creek without a paddle... because their primary currency would become useless over-night.
Greece holds all the cards, should demand complete debt write-off and financial aid.... the write off can be justified as war reparations.
The aid, well the aid is to pay them off to stay in the euro and keep it from falling apart.
Only an idiot wouldn't play that hand in poker.
Precisely. Zee Germans will be forced to pay the Greeks to retire at 45, take 3 months off per year, and enjoy no-show jobs. And the krauts will SMILE while they write the check.
This is all according to plan in the name of humanity and utopian socialism. Everyone is guaranteed a minimum standard of living, even if you don't earn it. So goes every large-scale socialist experiment. It won't end until the whole thing comes crashing down, and that's going to take a WHILE (the US will fall first).
forced to pay the Greeks to retire at 45
Well sure it doesn't sound that great.....when you put it like that.
Just as Rev Sharpton does in America.
Sharpton....the FBI snitch?
The emergency plan.
The back-up emergency plan.
The secret back-up plan.
The secret emergency back-up plan.
The double-secret back-up plan.
"As for the specifics as outlined above, note that if Greece receives €3.3 billion from SMP profits it will mean that the ECB has forfeited the money it made on the Greek bonds it purchased in the past, effectively allowing Athens to repay the central bank with its own money. "
So? US, Japan and UK have all been doing that with QE. ECB has done it already with all countries when it distributed 2014 SMP profits.
There is a court case in Canada against Bank of Canada for not doing this and causing the country to pay international finance capital billions of dollars in interest payments.
http://www.thestar.com/news/canada/2015/03/23/rocco-galati-in-court-to-c...
Europeans are a joke, with these clowns running the show how can they ever be taken seriously. The Euro is DEAD as a currency, they sound like a crooked salesman trying to sell you an old betamax
I predict civil unrest in Europe very very soon
yeap ... watch very closely further elections ... majority parties are going to loose BIGTIME ... they have no (zero, nada, none, ...) clue about how to handle those increasing number of refugees ... which won't go away / no can kicking here ...
all the while ordinairy folks in the streets are becoming increasingly uncomfortable with what they sold us as "Europe" ... as the promised land .. while they cluelessly convert it into this planets garbage bin ...
Watch closely those coming elections ... that's where the turmoil will start ... and then spread FAST ....
Were we prepped with these scenarios in that accidentally sent e-mail?
Nope.
No credit events here.
Everything is fine, move along.
This is like watching a 5 year old trying to defuse a bomb.
Keep up the good work Mr Tsipras.
France, Marine Le Pen anyway, Spain, Italy and Potugal are all reading, and learning, the script.
Can't wait until the final curtain on the nightmare that is the EU.
Another bailout in the Eurocrat plan of infinite bailouts.
All the rest is theater.
Many of the Eurocrats like being in the media, it feeds their ego.
The great reset cometh!
German population will be pleased. Thrown under a bus by Merkel and made to look like the worlds biggest loosers. Putin will be seen as the winner in all this and might I add, well done sir.
So if Greece reaches a deal they get the bail out money and if they don't reach a deal they get an emergency bail out. Is that right? I can't understand a fuckin thing these clowns are going on about.
So... did they get any of their VAT increases and pension cuts? Or did they just say "eh, fuck it, give them what they want"
Did someone just get really nervous?
How many times can you spank a dead monkey?
A: how many times does a wife say "not tonight" ?
Portugal, Spain and Italy should start demanding bailouts from the Eurocrats.
Once you start giving an ice cream cone to one screaming kid the rest want it.
Throw those deadbeat bankers out of Europe already
What a mess! One second you actually think the Troika has a plan with Greece and now they literally show they were bluffing. It's pretty obvious that they are terrified by Greece defaulting and exiting in fears of what such default will do to the markets and especially to banks who are directly exposed to Greece.
So in a last attempt, without Greece agreeing to the pension cuts and Vat increases, they voluntary that they will offer a 3rd bailout. Without any demands?? It is now beyond any doubt that the Troika is doing what they can to buy themselves time now that they've realized Greece won't give in to their demands. If they can postpone this for another 5 months they have the time to figure out.....what exactly? Deleverage their exposures to Greece? In that case who will be the buyer of Greeces debt?
Love those Greeks .. suprised there haven't been any "nailgun accidents" yet ..
Based on US futures reaction this looks like a nothing burger.
Obviously, since ZH is just giving it its usual spin. This, of course, is not a "third bailout". It's basically a five month grace period where the Greeks get the final installments from the second bailout, plus some interest earned on Greece by the ECB. Greece and creditors still have to come to an agreement.
So does this mean bailout #4 in 5 months? Of course it does.
What's going to change in 5 months? Not a fucking thing.
This is just a shell game while the psychopaths scurry around trying to figure out what to do and in the process fuck us to death.
They are bankrupt and ruling the world with shit that is worth nothing.
Notice the eggshell markets couldn't even wait till monday, they had to have some sort of backstop today. Which just happens to be fuckfest friday.
Yep, feeds coming in that the old can has been kicked again.... for another 5 months.
Only thing left is for Tsipras to get the latest offer through the Greek Parliament on Sunday.
He's probably borrowed Angela's Deutsche Bank Platinum Card to lay on the whores and Cochane over the weekend.
That should seal it....
zerohedge @zerohedge 22m22 minutes ago
MERKEL SAYS ENCOURAGED TSIPRAS TO ACCEPT GENEROUS OFFER
= If you don't take this offer then the next time you will only be allowed to keep 0.01% instead of the extremely generous 11% you currently are offered
an offer he can't refuse ?
ROLL UP ROLL UP... get your bullion 55 fiats a gram in your hand today!!! special offer!! Cos if we get zimbabwe'ed by Dragi all the fiats in Italy wont get you a Gram!!
www.teamramgold.com
They have not even got to the "balloon payment" idea yet and in a few years that will be floated.
That is, Greece will pay back nothing now but in 2025 they will make a balloon payment of 700 billion euros.
When we get to 2025 we can start all this "deadline" and "line in the sand" theater again.
easy peezy - just pay in $ZIM - $US 5 will buy you $ZIM 175,000,000,000,000,000
next
Greece is riding the wave of the future, the wave of the end game for the euro. They will get free money, to pay off their free money debt and then make more debt, get more free money because they know this is the end game. Italy, Portugal and Spain will be rolling the same way once they see commitment from the banksters on not letting this ship sink, which it will anyway but hell they need time to try and hide more shit first.
They will keep this sinking ship afloat right up until the point it sinks before our very own eyes, shortly after the free money balloon explodes into no more Serfs believing in their snake oil.
They rely on us believing in them, a luxury quickley diminishing....
No. Not another cent till the colonels are back in charge and end Greece's occupation by the Free Shit Army.
Or are the Eurofags that worried that Greece may actually solve the Free Shit Army problem and show countries serious about dealing with their own gangs of parasites and deadbeats how it's done?
(Chile for slow learners, shall we say?)
and all this time I thought FSA was Fascist States of America - huh
I think Tsipras has just rejected it!
Tsipras Wins...and Loses!
These meetings between Greece and the rest of her European partners could have been a lot more productive if they all had nail guns.
Tomorrow is the D-day for Greece
the day after tomorrow's tomorrow is D-day for Greece
Is it any wonder that western civilization is on the decline when everything is driven by debt both to the upside as well as the downside?
There is a generation of young people who cannot get a decent job, cannot therefore borrow o buy a home and who has no choice other than that of living at home, unable to start a family.
So how does some aid package from the Troika reverse that dangerous trend which is also manifesting itself everywhere from the USA to Europe?
Everything is working as far as they're concerned Pete, just need more time to hide the goods before the gallows come calling. Rothschilds and Rockerfellers wish to keep the show going and the rest of us are barfing on it, pretty much sums up the shit show of debt serfdom and oligarchs.
Debt based societys work great for a few....
Most of the earth has been populated by people with far worse prospects than today's western youth. Like all the work we are too good for, but not too good to borrow to buy.
A real bank run just started - rumors spreading for capital controls on Monday.
Greetings from Athens
That's huge, what's your source for that?
I am ready for a relief rally , greece is saved. I am ready to buy stocks.
OT:
A sizable dump today in PM's will indicate no deal over the weekend.
Guys, you haven't figured out the situation yet. Greeks WANT to stay inside the euro-zone !! So, there are no other solutions; they MUST pay back their debt up to the last euro !!
how do you pay when you produce absolutly NOTHING the others want to buy ?
And you have monstrous salaries and pansions from worthless socialist public sector services jobs ?
q: how do you pay when you produce absolutly NOTHING
a: you pay old credit with the next credit :0 that's how
there is a catch though - every next credit has to be bigger than the previous one
Does anything in the world work like it should?....Pass me a banana.....
No seriously, this is our last offer ... (says Draghi laughing hysterically ...)
oh noes ! here we go again.
and in other news, scientists discover that WATER IS WET !!!!
How come there is no program directory for this drama? I would like to know what act we are in, when is intermission, and how many acts to follow after intermission!
Ugh.
Tsipras already declined the offer
It is not a financial problem it is a political problem.
I don't even completely understand politics in the USA - no way I can figure out the Euro clusterassfucktomouth Greek situation.
I just wish they would get to the end of it -
This sounds like an awesome plan and should work swimmingly. I feel much better now.
Today might be a good day to make a bet: put it all on Red or Black...
If you are, like one person said, 100% sure there will be some sort of a deal this weekend, then today would be a good day to go double-long on the S&P.
If you are pretty sure by Monday they will be going into some kind of "Emergency Plan" like capital controls, then today would be a good day to go double-short (near the end).
Anyone want to lay odds?
The Greek government has extended a deadline to declare taxes, after just one in two Greeks filed their returns for 2014. At the beginning of this year, Greeks owed more than 75 billion euros ($84 billion) in unpaid taxes. Meanwhile, the country could default, if it can't make a 1.6-billion-euro loan repayment to the IMF by June 30. In an interview with DW, Athens-based tax adviser Vassilis Hadzopoulos explained the problem like this:
Some in Brussels might beg to differ....Greek debt crisis: It's make or break time in Europe
Follow our liveblog for the latest: http://www.dw.com/en/greek-debt-crisis-its-make-or-break-time-in-europe/...
WR:)
Greece, wake me when it's over. https://www.youtube.com/watch?v=zebNO0flyzQ
Mr. Panos smiles at the thought. "More reparations, Malaka."
PAY ME BACK THE MONEY YOU OWN ME OR I'LL LOAN YOU MORE MONEY!!!
I MEAN IT!!!
-----------------
THAT WAS THE DOTTED LINE MY FRIEND!!!
new definition to extend and pretend.
they've got as much time and as many Euro Zeros as they need.
Dr. Paul Craig Roberts: “The Greek people and the Greek government have before them the unique opportunity to prevent World War III. All the Greek government needs to do, if the Greek people will get behind the government, is to default on the loans, resign from the EU and from NATO, and accept the deal that the Russians have offered them….
This would begin the unraveling of NATO. Very quickly Spain and Italy would follow. So southern Europe would desert NATO and so would Austria, Hungary and the Czech Republic. NATO is the mechanism that Washington uses to cause conflict with Russia. So as the EU and NATO unravel, the ability of Washington to produce this conflict disappears.
http://kingworldnews.com/paul-craig-roberts-warns-greek-government-may-b...
if you don't take the more money we want to loan you, we will be forced to pay you a larger amount. but wait, theres more. if you call before midnight we will send you twice as much money. free shipping while supplies last.