The fight against vulture funds played in the internal and external fronts, no concrete negotiations in sight. Eduardo Anguita Terrorism, Lear and Donnelley Most analysts agree that the variations vanish to find a solution to -limited default, or whatever llamárselo- bounded by way of private entrepreneurs. Indeed, both the court of Thomas Griesa as spokesmen for vulture funds informally told that there was no agreement. Always transcended, it emerged that the consortium of four banks (Citi, JP Morgan, Deutsche Bank and HSBC) first offered to pay 40% of the total 1.6 billion Argentine state taxes and then raised the proposal to 50 percent. NML Capital refused. Imagine for a moment what might be the interests at stake to a powerful group of bankers pichulee for just a few hundred million. If these banks for an Argentine default was a headache, would have increased the range of 800 to, say, 1 billion or as needed. But while bankers say they speak Silver never clear what they talk about really. This issue is as important as mysterious. Thus, good data runs reserved sources. It is known, always transcended that within the government there was encouragement to that bargain. Moreover, from the Central Bank claim that there was any official mission Sebastián Palla, sent by the banker Jorge Brito, president of ADEBA (Association of Banks of Argentina, large banks of native capital) came who distanced the ruling party and showed his sympathy for the Front Renovator. A few days later, the minister Axel Kicillof rejected the purchase of private as a way to dampen the conflict with the vulture funds. The idea of the bankers was to pay with dollars that these entities are immobilized in the Central Bank reserve requirements. That is, the bankers wanted to do business with a silver that may not have. But again, if it was important for them to avoid the consequences of default, was not convenient to find a way out? These questions are not rhetorical. After December 2013 a series of official negotiations were accelerated to ease the external financial climate were to culminate with a nod of the Supreme Court of the United States, at least, postpone the failure Griesa until January 2014 and draw dangerous stage RUFO clause. But that did not happen and now the conflict focuses on seeing what the risks of a default until January 2 next are when, presumably, the government could pay without risk of a flood of claims. Four trials in ICSID paid, an agreement with the Paris Club was signed, compensation was paid to Repsol. In all these negotiations there will have been more or less skill on the part of the Argentine negotiators but the public purse will pay for years. The question is whether, with the billions of dollars pledged in recent months, its worth getting in trouble for something that could be solved with a few hundred million. The other hypothesis is thinking that is not here speaking of silver, but of sovereignty. But in that case, why have solved the other fronts so quickly? The slogan Patria o vultures sounds so sensible as it sounded not pay a dollar to Repsol. One can propose to defend the sovereignty but politics as art of the possible, indicates the need to have the strength and alliances capable of sustaining the fight. If the balance of power is not enough, a good negotiation is not betraying the country. LEAR AND Donnelley. What drives the government into this tough stance with vultures? The first, obviously, is because the failure Griesa is crude and aggressive. The second is to ask not only by principles but by the possible outcomes. With a pragmatic view, showing all the harshness of context: recession, inflation, falling export clearance, import restrictions, demand dollar savings, the parallel pressure and, most disturbing, employment difficulties. As this is a matter of all Argentines like Cristina said in the act of Flag Day in Rosario will need to at some point put aside infighting and consensus and shared outputs are sought. However, the internal political climate does not seem serene. What happened last week, when the president believed that the American graphic Donnelley Garin closed the plant in line with vulture funds, indicates that much remains to find a joint output. Cristina called antiterrorism law applies, it is true, but also came out to defend the jobs. The opposition took the only thing is that it is not for that law. Worth a brief chronology. On Monday August 11, Donnelley closed doors and announced he was leaving 400 workers on the street. Had a failure of the holder of commercial court Gerardo Santicchia 19 who had received the order on Friday 8th bankruptcy and had no better idea to work all weekend and declare bankruptcy the same Monday 11 and immediately left all the multinational employees out of work. It looked like a blitzkrieg action. A shame, no doubt, go down in the annals of the many advantages that the powerful in the courtroom and not just the commercial courts. Three days later, on Thursday 14, the president came out with the end caps and provided an amount of data that prompted it to say that there was a terrorist action. Indeed, said in December 2013 7% of Donnelley (a multinational century and a half of existence and headquartered in Chicago) was held by a company of Paul Singer and was transferred to another company. He added that 70% is held by mutual funds. According to Christina, the AFIP was found that Donnelleys financial position is good. But then he considered that fall on the multinational corresponds with the full weight of the anti-terrorism law. Reason, a cause that came at the hands of federal judge Daniel Rafecas but especially heated court because that law was made to look good with the powerful Pentagon seeking terrorists opened everywhere. The government now retraced his own steps and that the law is intended to pursue multinational companies. In this direction, Cristina said to my left is the wall. No mince around. Of course, the Workers Party (PO) came out to clarify that they feel Pink Floyd, and The Wall is his favorite song. Among other things because that game is a major force in both Donnelley and other companies in the printing guild. It would be good to calm a little party. At least to know what each side kicks. In another conflict, LEAR, the chief of staff said the past few days PO functional for employers because it is dedicated to bring to limit conflicts. But with the U.S. governments position LEAR is completely different. Indeed, executives at the auto parts staff first suspended, then proposed voluntary retirement under pressure and then closed the plant and all employees suspended for 15 days, which expires next Friday, August 22. In the middle there was repression led by Sergio Berni and declarative support of the Minister of Industry in accordance with driving SMATA not allowed to enter the internal committee delegates to an assembly. Then there was a decision of the Labour Court in imposing the full fair government delegates monitor the internal commission may enter the Pacheco plant. That is, here justice also acted fast. As often happens in the Labor Charter, the ruling was in favor of workers. We will have to watch out if the Executive put the same intensity that put the LEAR with Donnelley. And in turn, if the opposition fails to do the minuet to report any complaints to the government when injustice. NEVADA. Turning to the external front, its hard to know what the next steps will judge Griesa and bondholders. Both vultures and restructured. The former do not waste time. By mid-July, the NML Elliot Paul Singer had filed with the State of Nevada to order the seizure of companies Lázaro Báez ENTITIES there. The claim is based on a failure clause allows Griesa who won the judgment snooping on all those heritage assets of the Argentine state. The funny thing is that good of Elliot wore a replica of the payroll tax denunciation of José María Campagnolli about the money trail K. In less than a month, precisely on Wednesday August 13, Judge Cam Ferenbach Baez assumed that manages funds of the Argentine state. Now, Singer can scan 123 companies santacruceño entrepreneur. But the argument of justice is not to be Nevada Silver government corruption but simply that the money came from public coffers to pay for public works and that alone would be enough to pass into the hands of Singer. In turn, holders of restructured titles now have a chance to win more money. It is through the so-called acceleration. If shareholders of 25% of these titles can give a big headache meet. They could ask the Argentine State, if it extends the lack of recovery of interest, and to pay the full value and with that funding would fall to 2033 referred to in those titles. That 25% can arise understanding among many holders or even the purchase of a group of financiers. Of course, it may be the very Paul Singer. But the problem is not who. On Wall Street there are many wolves looking for business opportunity. Businesses where few earn much at the expense of others. In this regard, just look at the great work of Leonardo Di Caprio directed by Martin Scorsese. -
Posted on: Tue, 19 Aug 2014 23:34:04 +0000
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