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On Dec. 14, Abu Dhabi obliged, pledging $10 billion to help Dubai repay a maturing bond.
A precedent for this was set in May, after the first inconclusive election, when a payment of €4.2 billion ($5.3 billion) was made to Greece, most of which went to cover another maturing bond held by the ECB.Even if this tortuous routing of European bail-out money to the ECB helped avoid an immediate default, any new Greek government would face huge strains.
The afflicted countries -- Greece (until 2012), Portugal, Ireland and Cyprus -- received loans from official sector sources sufficient to allow them to repay in full their maturing bond indebtedness.
The first bucket or money that you need to use in the short term for routine expenses should be invested very conservatively – with cash, CDs, maturing bond ladders, etc.
But with changes afoot in Vanguard's indexing, whipsawing stock and gold markets and a rapidly maturing bond market, we thought it was a good time to check in with the Brooklyn-based fund family expert for his current take on the Vanguard universe.
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Rev Holdings has stated it does not have the money to redeem the maturing bonds, S.& P. said.
Archives|BANKERS HERE SEEK BIG CANADIAN LOAN; Two Groups Bidding for a $150,000,000 Issue to Refund Maturing Bonds.
BANKERS HERE SEEK BIG CANADIAN LOAN; Two Groups Bidding for a $150,000,000 Issue to Refund Maturing Bonds.
In practice, it makes no difference whether central banks try to sell their holdings or simply let the bonds mature (since maturing bonds have to be refinanced).
Italy must repay or refinance almost 200 billion euros, about $276 billion, worth of maturing bonds by April 2012.
Unless the government concerned is running a surplus by that stage (dream on), maturing bonds need to be refinanced.
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