Oct. 22 (Bloomberg) -- German Chancellor Angela Merkel said euro-region leaders must protect states including Spain and Italy from suffering a similar predicament to Greece, which faces a restructuring of its bonds.

Speaking to the youth wing of her party of Christian Democrats in the city of Braunschweig, Merkel said investors face a deeper cut in the value of their Greek bond holdings and the step poses risks of contagion. “We must prevent contagion,’ she said.

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