Cost Of Second Greek Bailout Raised To €145 Billion

Tyler Durden's picture


When the first revision of the second Greek bailout to the tidy round number of €130 billion was announced, we scoffed, mockingly. Because a country which then had a 7% budget deficit, and now has a deficit that will be well in the double digits, and not to mention a banking system that is now hollow following tens of billions in deposit withdrawals as month after month the Greek bank run gets worse, would obviously need much more liquidity (but banish the thought that it is a solvency crisis...) Sure enough, earlier today Der Spiegel broke the news that the second bailout, which has yet to be re-ratified, and absent Greece meeting demands to cede fiscal sovereignty, is likely a non-starter, would be increased to €145 billion "citing an unidentified
official from the so-called troika." So whether or not this is true is irrelevant: what matters is that Spiegel released the article in the same series of posts in which it explained just why Germany has full right to demand (via European enforcement mechanisms or however) virtually anything in exchange for the ongoing endless bailout (such as: Merkel macht Wahlkampf für Sarkozy and Griechenland sträubt sich gegen EU-Aufpasser). Which means one thing only: the great propaganda spin machine is now on, and its only purpose is to provide Germany a buffer of "having done everything in its power" to prevent the now inevitable Greek default. Which, incidentally, means that a Greek default is inevitable. Because at this point once the default floodgates open, the question will be not where the bonds will trade, but just how big the impairment on the European DIP (aka Troika bailout package) will be.

More from Spiegel:

The situation in Athens is more dramatic: the EU wants to take control of Greece's budget, the rescue package for the ailing state amounts to SPIEGEL information on 145 instead of 130 billion euros. In Berlin, formed a broad resistance to further aid.


It's like a bottomless pit: the planned emergency measures for Greece are not enough to lead the country out of crisis. According to the troika of the EU Commission, European Central Bank and the International Monetary Fund, the country still needs one additional 15 billion euros. Instead of 130 billion euros, as yet decided in late October last year, would be about 145 billion euros due, according to SPIEGEL information in the Troika, which started recently, her work in Athens again.


Reason for the gap is worsening the economic situation in Greece. "We do not believe that you can collect the missing money solely with the private creditors," it says in the Troika.


In the Berlin coalition is forming, however, resistance to further Griechlandhilfen , as it has brought, among other things, the EU Commission comes into play. "At our attitude has not changed," said CSU leader Horst Seehofer in Der Spiegel. "For reform standstill, there is no money." The CSU reject new aid for Greece over the programs adopted out, Seehofer said. "If the Greeks do not implement the reform programs, it can give no further assistance."


Also FDP parliamentary leader Rainer Bruederle calls for a relentless attitude towards Athens. "Solidarity is a two way street, so far as the European Community must stand firm and demand the necessary structural reforms," ??he says. "Only when the Greeks also provide evidence that they are serious, we can and must help the European Community."

German political support for a Greek bailout is next to zero:

The first coalition MPs have already announced that they plan to vote against a new Greece package. The Bavarian FDP members Erwin Lotter, who has previously approved all the euro rescue package would not do the same in the case of Greece. "I thought, the Greeks took their time," he says. "Now I am assuming that there is a bankruptcy, the problems can not be solved with more money."


The CDU -female politician Wolfgang Bosbach, announced that he will not vote for new tools Greece. "The Greeks do not lack the political will, but the economic strength to get back on its feet." Even in the European wing of the party is spreading now from discomfort. "It has become a big annoyance made ??broad," says the chairman of the EU Affairs Committee Gunther Krichbaum.


"All Greek parties must finally show the absolute will to change anything fundamentally." The deputy chairman of FDP Toncar Florian said, Greece is by far the most difficult decision for his party.

Last, and certainly least according to the Germans, is the Greek government, which until the news broke late last night, had no advance warning of German intentions:

The government in Athens according to the information officially know nothing of the plan.

At least Hank Paulson was kind enough to let congress and the population know when he came up with his three-page blank check term sheet to bailout his former employer. In Europe, Greece apparently was not even worthy the cost of a fax with the German one-pager before it was leaked to the press.

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Sat, 01/28/2012 - 23:34 | 2106550 toomanyfakecons...
toomanyfakeconservatives's picture

Meanwhile, Obama gets ready to open peace talks (surrender talks) with the Taliban...

Sat, 01/28/2012 - 23:44 | 2106576 fightthepower
fightthepower's picture

Good, why are we there? Bin Laden is dead.

Sat, 01/28/2012 - 23:49 | 2106587 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Growin' poppies mayne!

Sun, 01/29/2012 - 00:30 | 2106677 dlmaniac
dlmaniac's picture

I wonder when China will demand Obama to hand his budget over to Beijing.

Sun, 01/29/2012 - 02:09 | 2106817 The Big Ching-aso
The Big Ching-aso's picture



The Greek Drachma vs the Euro.   It'll be like a battle between two comatose inbreds.

Sun, 01/29/2012 - 03:06 | 2106854 KennyG09
KennyG09's picture

Dear ZH readers,

(Off topic)Who gives a fuck anymore? I've been reading this site for well over a two years now (active member for one year) and I have to say I honestly don't give two shits. I've seen every arguement possible whether it be for anarchy, gold standards, more government control, this candidate and that candidate. I've obessesed over all of it and I've come to the conclusion that I don't give a shit. Please provide one good arguement on why I should give a shit about any of this anymore. Honestly, hit me hard with the fight club shit. Yes, I know most of what ZH has predicted has come true and will soon come true, but what has it changed? I really want to know. Maybe I'm just an ass, I don't know. Of course, I'm also looking for answers from a fuckin blog so maybe I'm the douche. JD has that affect.

Good luck in all that you do,


Sun, 01/29/2012 - 03:09 | 2106855 markmotive
markmotive's picture

Well, if you have a family you should give a sh!t. If you want to protect your assets you should give a sh!t. If you want to maintain some sort of income you should give a sh!t.

You will fall behind if you don't understand the new world order:



Sun, 01/29/2012 - 05:10 | 2106890 Oh regional Indian
Oh regional Indian's picture

It's true that the shit seems to keep getting worse, worser, worsest, worsester,,,, but it still keeps going.

Well, when anyone is thusly inclined and has an hour to spare, check out a genuine alternative to OUR COLLECTIVE BETTERMENT... below.

Scoffers, at your own peril. ;-)

My Jolt for the Volt can triple it's miles....just like that.  As one pertinent example. 



Sun, 01/29/2012 - 08:58 | 2107014 Arius
Arius's picture


"may be I am an ass, I dont know" ....

I think you do - you hit it on the head - you are correct on what you are ... but, frankly none gives a damn of what you are or what you think you are ... get over it!


Sun, 01/29/2012 - 10:44 | 2107096 GetZeeGold
GetZeeGold's picture



Number of bailouts required = infinity.


Total cost = infinity.


Just give us the damn checkbook....and go away allready.



Sun, 01/29/2012 - 11:48 | 2107179 economics1996
economics1996's picture

Here is a blog I just did with current jobs numbers and some austrian economics mixed in.


Sun, 01/29/2012 - 06:22 | 2106913 zhandax
zhandax's picture

KG, just like a car wreck or an IRS audit, it's happening whether you give a shit or not.  It is not like any of our opinions of the facts will affect the outcome.  You seem to be confusing the articles with the comments.  The articles simply mark the occurrence of events (and in many instances, the only source to mark the occurrence of those events).  The comments are where we express opinions of these events, theorize, speculate, and grouse.

‡ The pursuit of blog commentary carries inherent risk due to unreasonable demands, unrealized expectations, and unstable commenter relations. Participants should understand these and additional risks before proceeding to the comments section.

Sun, 01/29/2012 - 12:59 | 2107284 KennyG09
KennyG09's picture

Trust me I've been saving most of my earnings in gold/land, despite the many "weird" looks I get for turning down the 401k. Thank you for some perspective.

Sun, 01/29/2012 - 13:00 | 2107285 KennyG09
KennyG09's picture


Sun, 01/29/2012 - 04:32 | 2106878 edotabin
edotabin's picture

Ruh-Roh!  Meltdown!

Sun, 01/29/2012 - 08:34 | 2107003 smlbizman
smlbizman's picture

speaking of meltdown....are we still on track for iran to cut the eu off of their oil today at 6 pm???


Sun, 01/29/2012 - 10:32 | 2107089 tiger7905
tiger7905's picture

It also seems the US is moving 100,000 troops onto 2 islands off coast of the horn of Africa and Oman.



Sun, 01/29/2012 - 11:42 | 2107171 Randall Cabot
Randall Cabot's picture

Purim: March 8

Sun, 01/29/2012 - 11:44 | 2107173 xela2200
xela2200's picture

I call the color of the new army fatiges Iran blue. Much better than Iraq beige. I hear Iran Blue will be all the rage in spring.

Sun, 01/29/2012 - 12:34 | 2107245 WmMcK
WmMcK's picture

Still holding out for the blue USD notes. 100 to 1 green to blue?  I can then trade for the "new" (still Lincoln?) $5.

Sun, 01/29/2012 - 10:09 | 2107069 _ConanTheLibert...
_ConanTheLibertarian_'s picture

Did you actually understand this article? This cannot go on much longer.

I've spent close to 2000 hours (no kidding) on the subject the past 3 years. I'm fed up too that it takes so long, but I refuse to give up now the endgame has really started.

Hang in there.

Sun, 01/29/2012 - 11:06 | 2107124 roadhazard
roadhazard's picture

Way too late to, "give a shit". Now I just wait for the revolution. Bullets and beans boys and girls, bullets and beans.

I like reading ZH just to watch people with money not sleep at night knowing it's all an illusion. I can't wait for the Palm Beach/Boca suicide rate jump.

Sun, 01/29/2012 - 11:15 | 2107137 qmhedging
qmhedging's picture

Citizens of Beijing City bought 1.5 metric ton of gold in 7 days for holiday gift and so on

Sun, 01/29/2012 - 11:20 | 2107149 ToNYC
ToNYC's picture

Giving a sh%t, whether you care to or not, is essential to health. You are taking and making sh%t , so it's important to be able to give it or lack luster from constipation. Give it up like your curly-haired brother from another mother, Kenny G with the sax.

Or maybe pop a zit or two here at ZH, but don't forget to use neosporin! We like you to come clean.

Sun, 01/29/2012 - 17:40 | 2108002 He_Who Carried ...
He_Who Carried The Sun's picture

(Off topic)Who gives a fuck anymore? I've been reading this site for well over a two years now (active member for one year) and I have to say I honestly don't give two shits. I've seen every arguement possible whether it be for anarchy, gold standards, more government control, this candidate and that candidate. I've obessesed over all of it and I've come to the conclusion that I don't give a shit. Please provide one good arguement on why I should give a shit about any of this anymore. Honestly, hit me hard with the fight club shit. Yes, I know most of what ZH has predicted has come true and will soon come true, but what has it changed? I really want to know. Maybe I'm just an ass, I don't know. Of course, I'm also looking for answers from a fuckin blog so maybe I'm the douche. JD has that affect.Good luck in all that you do, KennyG09

Much depends on what you do with all that shitty information that you find here and elsewhere...

How much do you subject yourself to the OPINIONated guess of others is the question at hand. ZH does not get it right all the time, as a matter of fact I rely much on exclusive thinking and other places (my hairdresser for starters *lol*) - but at places like ZH one might find the occasional extra info that could be quite a gem (seldomly a 'nugget').

Usually I make money, if I do the exact opposite of what other people suggest...

Make up your mind and get ready to think for yourself... Good luck to you 2 !!

Sun, 01/29/2012 - 08:13 | 2106988 francis_sawyer
francis_sawyer's picture

I wonder when China will demand Obama to hand his budget over to Beijing

What budget?

Sun, 01/29/2012 - 09:44 | 2107051 DeadFred
DeadFred's picture


Sun, 01/29/2012 - 11:42 | 2107170 Sudden Debt
Sudden Debt's picture

If you would sell everything in America, you'd get about 16 trillion for it. A good salesman could even get 17 trillion for it.

So that won't cover it anymore.


HUMAN CAPITAL!!! And by Human capital I mean the amount of money one makes in their entire lifetime is estimated to be 260 TRILLION DOLLARS!!!!

So if he sells Americans to China, for about 750.000 per person (kids bring in more), he would only have to sell 2.7 million slaves to China to downpay the debt with china!

and about 15 million Americans to the banks!

Yes.... once you start hearing "Human Capital" in the press, you'll know what he's talking about....



Sun, 01/29/2012 - 12:09 | 2107207 flattrader
flattrader's picture

Foxconn pays about .70 per hour.  I think we are worth more than 750.00 over our "useful" life.  Do the math.

I don't want you on the negotiation team, that's for sure.

Sun, 01/29/2012 - 14:31 | 2107523 Kipper und Wipp...
Kipper und Wipperzeit's picture

I think he means $750,000

Sun, 01/29/2012 - 12:00 | 2107193 LiquidityandLunacy
LiquidityandLunacy's picture

That hOpium isnt going to grow itself now...

Sun, 01/29/2012 - 00:28 | 2106671's picture

I found out that bin Laden was dead when I played The White Album backwards.

Sun, 01/29/2012 - 06:52 | 2106941 The Alarmist
The Alarmist's picture

Al Quaeda is everywhere. Did you know that al Quaeda shot the Kennedys? They used box cutters to get a man on the moon. They used metal knives and forks in the Chili's restaurant in your local airport to take down the western world. They are everywhere and you might be one of them, so we have to double the national budget every 5 years to ensure the massive state apparatus is up to the task of protecting you ... from yourselves.

Sun, 01/29/2012 - 08:19 | 2106991 Oracle of Kypseli
Oracle of Kypseli's picture

It was lately proven that it was not Berlusconi's predessesors or the Israelites that crucified Christ. It had to be Al Quaeda or the Taliban. Yes! they are everywhere.

Sun, 01/29/2012 - 17:18 | 2107085 Stack Trace
Stack Trace's picture

Al Qaeda causes morning constipation too. They slip in during the night and hard little buggers to shit out. But if you let them hang around too long next thing you know you are on the list to visit Gitmo for some non-torture torture to cleanse your Colin Powell of Yellow Cake.

Really, who in ther right minds believes in these made up bogeyman?

The more time that passes and the more desperate TPTB act the more unreal they seem.

Who knows...maybe some dirty rag-heads in a filthy cave somewhere did want us all dead because of envy. That certainly legitimizes the abbrogation of all our liberties and treasure in the name of being able to have an uneventul bowel movement as our government takes one large dump all over ther world.

Sun, 01/29/2012 - 11:37 | 2107165 dwdollar
dwdollar's picture

If by Al Qaeda you mean the CIA, then yes, you are very close to the truth sir.

Sun, 01/29/2012 - 07:20 | 2106959 Non Passaran
Non Passaran's picture

Which MP3 player supports reverse playback?

Sun, 01/29/2012 - 08:14 | 2106989 francis_sawyer
francis_sawyer's picture


Sun, 01/29/2012 - 01:30 | 2106788 LongSoupLine
LongSoupLine's picture

Tactical presence in the region. (read: The middle ages crusades)

Sun, 01/29/2012 - 11:45 | 2107176 Sudden Debt
Sudden Debt's picture

You sure? For me all those muslims look the same.... and it's not like we got to see his corpse....

Maybe I should buy some more tuna cans and look if I find a "trace" of him in there....


Sun, 01/29/2012 - 12:28 | 2107235 WmMcK
WmMcK's picture

Especially the extra tall dead (Muslim) ones, look alike that is.

Sun, 01/29/2012 - 13:17 | 2107312 knukles
knukles's picture

We have always been at war with ourselves.

Sun, 01/29/2012 - 00:06 | 2106627 ilovefreedom
ilovefreedom's picture

i.e., negotiations to pay them not to fight.


Paying them off is much cheaper.

Like we saw in Iraq to juke the stats.



Sun, 01/29/2012 - 02:13 | 2106831 BorisTheBlade
BorisTheBlade's picture

Fighting, incidentally, is the only thing they can do, so if they are paid they'll be expected to fight somebody else.

Sun, 01/29/2012 - 02:22 | 2106837 He_Who Carried ...
He_Who Carried The Sun's picture

Ze Dshermans just went on strike. Let ze Bernank, ze French and ze English pay for all zat bullshit...!

And zen? Zen you will see zose as well come runnin' to Berlin asking for help? Economics?

Ze olde ENglishe talking about "eeconomics"? Zats a good joke, a razer lovely one...

Look at your debt levels, dear British and American friends, before u all come running to good ol' Berlin.... lol

Sun, 01/29/2012 - 07:52 | 2106978 StychoKiller
StychoKiller's picture

I vote we let LetThemEatRand "donate" all his property to helping out his fellow Socialist/Progressives in Greece.  It's the least a successful bidness man such as himself is obligated to do, after all, the Greeks "deserve" a Highway system too!

Sun, 01/29/2012 - 16:56 | 2107917 zerozulu
zerozulu's picture

What surrender? MOD and contractors got rid of old equipment and ammo. That's what they do after 10 to 15 years. Time to start over. Its a win win.

Sat, 01/28/2012 - 23:37 | 2106554 idea_hamster
idea_hamster's picture

Good night, a-ling-a-ling-ling!

This is now, officially, too silly.  

Sat, 01/28/2012 - 23:37 | 2106560 Everyman
Everyman's picture

These people are just fucking idiotic and completely corrupt liars!

Who in the world would take these clusterfuck clowns seriously?



Sat, 01/28/2012 - 23:46 | 2106570 Caviar Emptor
Caviar Emptor's picture

Good news:  (winning, since we're breaking old records from the 1930s)

youth unemployment in Spain reached 51.4% among those aged 16 to 24

 Its 51.4% youth unemployment level means that for the first time in a modern European country the majority of young people are out of work. In Greece the figure is 46.6% and in Portugal it is 30.7%.

In November youth unemployment in Britain passed 1 million for the first time in 15 years, equivalent to 22% 


On Saturday chancellor George Osborne and Labour leader Ed Miliband joined the leaders of the World Bank and the IMF in urging action to create jobs amid warnings that youth unemployment was a timebomb under the global economy.


Plans to commit €22bn to tackling the scourge of youth unemploymentacross Europe will be considered by EU leaders on Monday as international pressure mounts for action to help young people chart a way through the deepening economic crisis.

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