Investor Roadshow Presentation January 2005

More documents

Recommendations

Info

Recent Comments from the Official SectorJean Pierre JouyetChairman, Paris ClubJuly 2004“We told [the Secretary of Finance] that it was undoubtedlynecessary for the proposal to be improved. It is importantthat a satisfactory solution for private creditors be foundbefore the public debt is negotiated.”IMF Internal DocumentJuly 2004“...The authorities seem to underestimate significantly theresources available for debt service.”11
The “Most Favored Creditor” Clause Does Not Protect Creditors! The exchange offer states: “Argentina reserves the right, in its absolutediscretion, to ... enter into a settlement in respect of any Eligible Securitiesthat are not exchanged.... The terms of any such purchases, exchanges,offers or settlements could differ from the terms of the Offer.”! The existence of this clause and the language it contains is a de factoadmission by Argentina that it wants to retain the flexibility to cut new dealsin the future! There is no guarantee that Argentina will give those that enter into the initialdeal the revised terms! In fact, Argentina has included a number of exceptions to this clause to protectthe country and allow it to lock out those who choose to accept the initialterms of the offerBased on Argentina’s track record, investors should discount this option12
Page 3 and 4: PresentersDr. Nicola StockCo-Chair,
Page 5 and 6: What All Bondholders Should Know! O
Page 7 and 8: Argentina Can Afford to Pay MoreArg
Page 9 and 10: Argentina’s Exchange Offer is Inc
Page 11: Recent Comments from the Official S
Page 15 and 16: GCAB’s Approach! Reject Argentina
Page 17 and 18: Bondholders Who Reject the Offer Ha
Page 19: www.gcab.org

Investor Roadshow Presentation January 2005

Create successful ePaper yourself

Delete template?

Save as template?