Bloomberg News

Greek Default Ruling by ISDA Likely Outcome, NYU’s Altman Says

January 24, 2012

Jan. 24 (Bloomberg) -- The International Swaps and Derivatives Association will probably rule that Greece is in default if there are creditor holdouts to restructuring talks, according to New York University’s Edward Altman.

That is the most likely outcome, Altman, a finance professor at the Stern School of Business, said during a Turnaround Management Association conference in New York today.

European finance ministers meeting in Brussels today signaled they would push Greece’s private investors to accept bigger losses after bondholders made what the negotiator for the creditors described as their “maximum” offer. Euro area governments are seeking to fill a deeper-than-expected hole in Greece’s finances by having investors accept a lower interest rate on exchanged bonds.

--Editor: Dave Liedtka

To contact the reporters on this story: John Detrixhe in New York at; Austen Sherman in New York at

To contact the editor responsible for this story: Dave Liedtka at

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