The End is Nigh: S&P downgrades eurozone bail-out fund (karma: 3)en>frfr>en By VAVD Comments: 2663, member since Wed Nov 25, 2009
On Mon Jan 16, 2012 02:29 PM
It's official: Europe is fucked.
Since you Yurps set such store by history and tradition, and since everything else you've tried to stop the crisis has failed, the next EU summit will probably declare that it's the Jews' fault and start a pogram.
Standard & Poor’s on Monday stripped the eurozone’s bail-out fund of its AAA credit rating, potentially constraining its ability to contain the region’s debt crisis and focusing attention on efforts to create a more robust successor.
S&P lowered the European Financial Stability Facility’s rating to AA+, following its decision on Friday to remove the triple-A ratings of France and Austria, two of the find’s guarantors.
The EFSF relies on the triple-A ratings of its guarantors to raise cash in debt markets, which it then lends to stricken eurozone governments at a small mark-up. France and Austria account for some €180bn of the credit guarantees underlining the fund, created after the first Greek bailout in May 2010 and supposed to serve as a firewall sealing the eurozone’s core economies from the crisis.
Shorn of its top-tier credit rating, the EFSF is likely to be forced to pay higher premiums or operate with less cash at its disposal.
re: The End is Nigh: S&P downgrades eurozone bail-out fund (karma: 1)en>frfr>en By BurnParis Comments: 27274, member since Thu Mar 13, 2003
On Mon Jan 16, 2012 04:21 PM
S&P lowered the European Financial Stability Facility’s rating to AA+, following its decision on Friday to remove the triple-A ratings of France and Austria, two of the find’s guarantors
