Hynix's creditors had reportedly offered a debt-to-equity swap of $2.3 billion, along with about $1.3 billion in debt writeoffs and a writedown of their holdings of Hynix stock.
"[The Sandy victims] are being offered a debt-financed recovery," observes Yates.
Why not, he says, offer a debt cut in return for structural reforms?
The prime minister said it was a "very troubling day" and he grieved with workers facing an uncertain future, but moved to dampen expectations the government would offer a debt guarantee.
Shared-appreciation restructurings offer a debt for equity swap whereby, in return for modifying the loan, the borrower must give up some of the future appreciation in the value of the property.
Such a "European Treuhand (Trust Agencyy" would offer a "debt-for-equity conversion" that could repair the public finances of the euro zone's bailed-out states, reduce North-South current account imbalances in the 17-nation currency area and generate investment in Europe's periphery.
WALL STREET JOURNAL Getting the Greek Deal Over With | With Greece expected to offer a deal to debt holders next week, European officials are hoping the agreement, which could be one of the largest debt restructurings in history, will be the last of its kind, The New York Times writes.
Some are advising party leaders to simply offer a clean debt limit increase, with no demands attached, and shift to new battles.
Opposition political forces in Germany also signaled readiness to interpret the referendum result as a rejection of what is required to stay in the Eurozone, even if many Greeks voted "no" because their leaders suggested it would compel the creditors to offer a substantial debt write-off and more lenient plan for repaying the rest.
The central bank, which has bought government bonds and taken other unprecedented measures in recent days to defend the euro from the fallout of Greece's debt, offered a more negative assessment of Estonia's qualifications.
