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10 January 2011

FT: Brussels to target bondholders on bail-outs


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Der FT zufolge schlägt EU Kommissar Michel Barnier eine Regelung für Rettungsaktionen für Banken vor, die im Bereich Konkurs- und Aktionärsrecht weitreichende und komplexe Änderungen der nationalen Rechtsvorschriften vorsehen.


The article quoted one commentator saying that in this case, the EU end of the legislation will be straight-forward, while the national end will be a lot more complex.  Mr Barnier is also considering the possibility of living wills. The plans, however, did not touch on the question of Cocos, contingent capital bonds – bond that are automatically converted to equity on at a pre-determined trigger level.

Full article (FT subscription needed)
 



© Financial Times


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