It's Official: Greece To Pay May 15 Bond Maturity
Earlier, we reported on media speculation that this was a done deal. We now get confirmation.
- GREEK FINANCE MINISTRY TO PAY EU435 MLN BOND
- GREECE SAYS TODAY'S DECISION DOESN'T PREJUDICE FUTURE DECISIONS - no, just those you have to COMPLY with
In other words, just as Zero Hedge predicted in January, non-Greek law bondholders, who did not comply with the PSI, had all the leverage.
And by the way, this is not Greece masking the decision. This is the international bondholder community strong-arming Greece behind the scenes, as non-payment on strong covenants bonds would be tantamount to a null and voiding of virtually the entire strong covenant sovereign bond market instantaneously.
And again: congratulation to all those who were not Steve Rattnered into agreeing to the PSI, and held out: the 135% annualized return is worth it. Just keep this in mind when the PSIs of Portugal, Ireland, Spain and Italy take places next.
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