May 9, 2011 / 2:59 PM / 9 years ago

S&P expects 50-70 pct haircut on Greek govt debt

LONDON, May 9 (Reuters) - Standard and Poor’s ratings agency said on Monday that it expected a haircut of between 50 and 70 percent on Greek sovereign debt in the event of a default.

“We have a recovery rating on Greece which is 4, which implies that under a default scenario we would expect a haircut of between 50 and 70 percent,” Frank Gill, S&P senior director for European sovereign ratings said on a conference call with reporters.

Earlier, S&P cut Greece’s rating to B from BB-, dragging it further into junk territory on concerns that a debt restructuring is increasingly likely.

Reporting by the London bonds team

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below