Argentina offers to pay debts with cash & bonds
- Article by: MICHAEL WARREN
- Associated Press
- March 29, 2013 - 11:08 PM
BUENOS AIRES, Argentina - Argentina is offering a creative way out of its debt showdown in a U.S. appellate court.
Its proposed payment plan for $1.44 billion in debts left unpaid since the country's 2001 default is a mix of cash and new bonds that it says would provide the plaintiffs with a huge profit, but not a gargantuan one.
According to the math Argentina gave the appellate judges just before a midnight New York deadline, NML Capital Ltd. would eventually make an aggregate profit of a 284 percent on the bonds it bought five years ago, but not an unfair gain of 1,380 percent.
Argentina is appealing a ruling that would make it pay it all in cash up front.
© 2013 Star Tribune