Latin America
Related: About this forumUS Supreme Court rejects Argentina appeal in bond fight
The US Supreme Court today declined to hear Argentina's appeal over its bid to avoid paying $1.33 billion to hedge fund creditors or risk a potential default.
Without comment, the high court left intact lower court rulings that ordered Argentina to pay. The government had previously warned it could default on its sovereign debt if required to pay in full.
Argentina said in its most recent court filing that the government would struggle to pay the bondholders in full while also serving its restructured debt. In that scenario, "Argentina will have to face, objectively, a serious and imminent risk of default," the filing said.
The bondholders dispute that assessment, saying in their own court filing there was evidence presented in lower courts that Argentina could afford to pay.
Argentina is seeking to avoid making full payment to holdout creditors led by hedge funds Aurelius Capital Management and NML Capital Ltd, a unit of billionaire Paul Singer's Elliott Management Corp.
http://buenosairesherald.com/article/162237/us-supreme-court-rejects-argentina-appeal-in-bond-fight
COLGATE4
(14,732 posts)than pay?
Bacchus4.0
(6,837 posts)President Cristina Fernandez said on Monday that Argentina would honor its payments to holders of its restructured debt and to avoid a default despite suffering a setback in its long-running legal battle against "holdout" investors.
The U.S. Supreme Court earlier on Monday declined to hear Argentina's appeal over its battle with hedge funds that refused to take part in its debt restructurings. The court's decision was unexpected and risks toppling Latin America's No 3 economy into a new default.
"We want to fulfill and honor our debt and we will do that ... I ordered the economy ministry to set up all the tools needed to make the payment to those who trusted in Argentina," Fernandez said in a televised speech, although she did not say how her government would do it.
COLGATE4
(14,732 posts)Bacchus4.0
(6,837 posts)to pay the bills.