The Greek debt rollover plan proposed by French banks earlier this week will not trigger a default from rating agencies, according to sources close to European lenders.
“Politicians and bankers are confident a French proposal for a Greek bailout can be adopted without triggering a default or a payout in credit insurance,” according to Reuters, which cited three individuals close to German lenders.
One source stated that “The fact the French model was developed by banks implies the rollover will be fully voluntary — a precondition for rating agencies not to declare a default.”
While the report lent support to the euro currency on Wednesday – as it climbed 0.5% to 1.4402 against the U.S. dollar – Moritz Kraemer, S&P’s head of European sovereign ratings cautioned earlier this week that it was too soon to determine the ratings impact of the discussed Greek debt relief program.
The report went on to say that “French banks, who have some of the largest holdings of Greek sovereign debt, have proposed voluntarily renewing part of the bonds when they fall due, but on different terms. That proposal is being discussed in Germany, too, and sources close to the talks said details such as the volume of any rollover and the coupon payments of new bonds need to be finalized.”
Crocodile Gold Appoints New President and CEO
Crocodile Gold (CRK.TSX) announced the appointment of Chantal Lavoie as President and CEO of the Company, effective June 17, 2011. Mr. Lavoie is a Professional Mining Engineer with substantial experience in mining operations and projects. Mr. Lavoie has spent the previous eight years at De Beers Canada Inc. where he oversaw the Canadian operations of De Beers, including Snap Lake and Victor mines, the Gahcho Kue project and was acting CEO of De Beers. Mr. Lavoie also worked for Barrick Gold Corporation at Goldstrike in Nevada and Aur Resources Inc. at the former Louvicourt mine. Full Crocodile Gold News Release.
