EU: TTIP - The Bonds

Capt. 'Bob''s picture

Since 2014 lack of transparency over the TTIP negotiations has led to much doubt about what is included and what is not.  Labour MEP's have been actively involved in the negotiations attempting to ringfence certain aspects, ie the NHS, alongside ISDS (interstate dispute settlements).    

"as it currently stands, the NHS would not be fully secured in TTIP: while no trade deal can force the privatisation of any public services, loopholes could be used to prevent a future Labour government from renationalising services that have already been tendered out....

"Labour MEPs have been pressing the European Commission and UK government for a full exclusion of all public services from TTIP, not just the NHS.... The government is trying to dodge having to reveal the truth about TTIP to the British people. Disclosing this information should not be a concern for the government unless they intend to disregard the legal advice they have received. There is significant public opposition to TTIP, and in order to make a convincing case in support of TTIP the government needs to prove to the public that the NHS will be safe.”


Artful Dodgers.  It would seem the purpose of TTIP is for legally binding trade agreements that cannot be overturned by future Governments.   The UK Brexit referendum and claims over sovereignty still remains open to the 'small print' ... would any future Government be able to overrule or overturn the referendum?    With or without the 'small print' obviously once out... the UK would be forced to reapply:  

"“The UK’s withdrawal from the EU would mean unravelling all the rights and obligations – from access to the single market, to structural funds for poorer regions, to joint action on sanctions – that the UK has acquired both during our accession to the EU and over our 40-year membership. As well as negotiating its withdrawal, the UK would also want to negotiate its post-exit arrangements with the EU,” the officials claim. " 

A UK Brexit has also being 'condemned' by the less economically challenged :

And, with 6 weeks before the small print is likely to be published, and the 'official' offal offensive begins ... give or take Eurovision it is all getting slightly 'boring'.    Has the Brexit peaked too soon, has Corbyn peaked too soon... "Speaking exclusively to the Tribune, the Islington North MP acknowledged his historically lukewarm personal feelings towards the European Union, but said: “Labour Party policy is to try and get the best deal out of Europe for this country and a social Europe for everybody.” However, Mr Corbyn expressed concern about the EU’s “democratic def­icit”, the economic strategy of the European Central Bank (ECB) and its power over austerity-stricken countries like Greece."

Slightly exciting? Hmmmm ...   the plot thickens:

Argentina to repay $95bil in bonds: "The agreement is a victory for Mauricio Macri, who was sworn in as Argentina's president in December. He reversed the non-payment stance taken by his predecessor. Daniel Gallas, BBC South America Business Correspondent, said there was still a lot of work to be done. He said that after winning over the hedge funds Mr Macri must now convince his own congress that this is a good deal for the country. "The previous administration of Cristina Fernandez de Kirchner had approved a 'lock law' which forbids Argentina from paying out hedge funds in the terms that were negotiated today," he said."

Locked and loaded?

"Plaintiffs in these forty-nine actions hold bonds issued by defendant, the Republic of Argentina. In October 2015, the court issued injunctions in these actions. Due to a pending appeal, the court does not presently have jurisdiction over the injunctions.

The Republic now moves for a Rule 62.1 Indicative Ruling that this court would vacate the injunctions if the Court of Appeals were to remand for that purpose. The motion under Rule 62.1 allows the court to state that it would grant a motion to vacate if it had the power to do so. Some plaintiffs support the Republic’s motion to vacate; others do not. The court must therefore decide whether it would vacate the injunctions on remand.

Elliott Management vs The Republic Of Argentina – Background

The court has often recounted the history of this prolonged litigation. A brief summary will suffice.

1. The Default

In 1994, the Republic began issuing bonds pursuant to a Fiscal Agency Agreement (“FAA”), which contains the famed pari passu clause:

The Securities will constitute . . . direct, unconditional, unsecured and unsubordinated obligations of the Republic and shall at all times rank pari passu and without any preference among themselves. The payment obligations of the Republic under the Securities shall at all times rank at least equally with all its other present and future unsecured and unsubordinated External Indebtedness…

After the Republic suffered an economic crisis in 2001, it defaulted on its debts, including the FAA bonds. In an attempt to cure this default, the Republic twice invited bondholders to exchange their FAA bonds for new bonds worth only 25–29% of the FAA bonds’ value. In all, roughly 93% of the Republic’s creditors ultimately accepted these exchange offers, and the Republic began making payments to the “exchange bondholders.”

To buttress the first exchange offer, the Republic enacted Law 26,017— the “Lock Law”—which prohibited “any type of in-court, out-of-court or private settlement” with FAA bondholders who could have participated in the exchange offer but chose not to. Then, in 2009, the Republic enacted Law 26,547, which barred the Republic from giving FAA bondholders who had filed lawsuits “more favorable treatment than what [was] offered to those who have not done so.” Finally, in 2013, the Republic passed Law 26,886, which again forbade bondholders who had filed lawsuits from getting any settlement worth more than the prior exchange offers.

For many years, the Republic never paid anything on the FAA bonds. Plaintiffs who held beneficial interests in those bonds began filing actions against the Republic in this court. Many obtained money judgments for the outstanding principal and interest. The Republic refused to pay, and the plaintiffs tried—usually in vain—to attach Argentine assets to satisfy their money judgments. See, e.g., EM Ltd. v. Republic of Argentina, 865 F. Supp. 2d 415, 417 (S.D.N.Y. 2012) (observing that the Republic has “usually prevail[ed] in defeating the plaintiffs’ attempts to recover” through attachment). "

Reads like 'greek' or an  'asset management' issue... (small print)

Of interest, and with regard to Brexit, how much, exactly is the UK 'bonded' ....

Clean out the Queen  ... hmmm

The Irish Brexit Conundrum continues ...

No Four leafed clovers required :-

Wasn't she off to Mars?

Oh. Missed.

Reform : "For months, UK Ministers have claimed that they are doing everything possible to address the deep crisis in our steel industry. This submission to the committee working on the reform of trade dumping measures shows that these have been crocodile tears... The UK government rather than supporting much needed action has been delaying and blocking it. They have corralled other member states to build a blocking minority which has left our steel industry and the tens of thousands of steelworkers and their communities virtually defenceless in the face of aggressive steel dumping from China, Russia and other global producers... As national steel ministers return to the EU negotiating table on Monday, they should know that MEPs and steel communities will not accept any more excuses.”


Captain Qahn's picture

Bonds - EU or USA?

Bedtime reading/Hedging:

"Kim Liu, senior fixed income strategist at ABN Amro, said that even if the ECB did not raise its monthly purchases, it was likely to hit its self-imposed limits in Germany within a year.

"This is the reason why we think the ECB will need to resort to more drastic measures, like removing the deposit rate floor for purchases," he said.

About 600 billion euros worth of bonds are trading below the current deposit rate of -0.3 percent across the euro zone, according to Liu.


ECB President Mario Draghi has indicated that the bond-buying scheme could continue after March 2017 if the central bank had not reached it target of bringing euro zone inflation to near 2 percent. Inflation is currently running at about zero.

Assuming the ECB continues with the monthly purchases of 60 billion euros, DZ Bank analyst Hendrik Lodde said the ECB could hit its self-imposed limits on bond buying in Germany around mid-2017 and a little earlier in Portugal.

Another possibility to avoid hitting such limits is expanding the debt maturity range. The ECB currently buys bonds with a maturity of between two and 30 years. If they included bonds with a one-year maturity, that could also increase the available pool of assets.

Another way to expand QE without immediately threatening the ECB's limits could be through purchases of corporate bonds - and some funds appear to be positioning for this already."

Ergo, if (IF) the Cambo/Osbo austerity policy of divebombing the UK's economy into deflation,  aka fail, then the Brexit referendum, allows for Thatcher's plan for the UK to align economically with the USA, or for the UK to enter (perhaps reluctantly)  as a fully paid up (indebted) member of the Eurozone. All or nothing? High stakes indeed:

ECB (Bankers)

Stretched. Farfetched. BoE:


Ouch. 20%.  More 'retail therapy'... aka shop til ya drop.

Capt. 'Bob''s picture

EU: 'Community'

Captain Qahn's picture

EU: UK Beaches

What has the EU done for UK beaches?

(except Staithes ;-/)

via JKD - Fiend or Foe :-)

"Thanks to the EU over 95% of our beaches are clean enough to swim in.

In the 1970s we used to pump our untreated sewage straight into the sea.

EU laws have forced the UK to clean up its act.

Let's not forget that cleaner beaches are more likely to attract visitors to the seaside and boost local economies..."

Captain Qahn's picture

EU: FoE - 'Friends of Earth'

See things differently ...

"For the sake of our environment, we should remain part of the EU.The strength of the argument to stay, however, is becoming seriously weakened by the EU’s dogged prioritising of economic growth, TTIP negotiations, threats to nature laws, and resistance to democratic reform. The EU needs to rediscover its way and make environmental and human welfare a core purpose if it is to continue to get support from EU citizens..."

Best Bits :

"The opinions, discussions and activities of EU members on environmental matters must be published publicly and when corporations, NGOs or others try to lobby and influence decisions, this should be made transparent."

"EU commissioners wield huge power in the EU, deciding what legislation is introduced or cut. The European Parliament should have the power to reject unsuitable potential commissioners, for example when they have no track record, little interest in or are hostile to environmental protection."

All very positive stuff: aka do better ;-)


Captain Qahn's picture

EU: 'Wriggle Room'

Osbo's 2016 Budget = cuts for the poor, tax breaks for the rich, and the cost of over 309  Tory policy U-turns and  Brexit is ... ???

Erm, who caused the financial crisis?


GDP = Debt ... tis the deficit (ratio of debt per GDP that is the problem)

Of course should any nation want to cut debt/GDP they could always have a cull ...


Captain Qahn's picture

The EU & Sirius

The York Potash project is of global significance and confirmed as UK  strategic significance....

Does the EU referendum have an impact  the York Potash Project?

Yes & No.

Yes, because a Brexit would confirm the UK is a small nation, small minded, politcally unstable (ironically), and not open to change in the global 'PEST' environment ... 

No, because despite the short term of political egotistical ambitions, the fact is that Bond/Debt providers are looking to the long term and any 'political' erm 'persuasions' are just an erm ... hitch?

The Argentina case proves this point .... the Bonds will be repaid ... one way or another.

Yet another fine example of Financial Stability and 'dynamism'  over Politics is the Carlyle Group (selective memory)    see here:

Bean Sprouts ... lmao ...

The bottom line is you have to work with what you've got ... the York Potash project is of Global significance, ergo  the political EU referendum is merely a hinderance, albeit a badly timed one ...

The EU reflects on a political scale the ambitions of the 'Project', forward thinking, co-operation, unity and the risks that  'humanity' faces ... it feeds into the 'psyche'. If it ain't perfect ... improve of fix it.

I don't feel any doubts about being 'suckered' into that ... tho there are many who are 'protectionists'.

Anyhoos the 'risk' element is and always has been evident ... is India the new China? ... is Putin the bear thats sh*ts in his Wood? .. Will China be the financiers (China sorts it's own)  ...  who cares?

I have no doubt in my humbly bumbly pre-construction will start 4th April.    

Was it those Ministerial emblems on a drive by?

Above and beyond and all that ... certainly the EU ... tho a little EU an IUK would not go amiss :-)

I mustav missed out the Ducks bit ...

btw 2021 ... thats when the Boulby licence expires ... 'hope eternal '... tis a certainty, Boulby & York Potash working together to promote the Potash Powerhouse has been confirmed ... lost it somewhere, sobeit  >>>>  global co-operation :-)


When in 'Rome' ;-0





Capt. 'Bob''s picture

EU: Dutch Referendum Rules

Netherlands 'rejects' EU-Ukraine free trade agreement :

"Turnout is projected at 32%, above the 30% threshold of voters needed to be valid but within a 3% margin of error.

Prime Minister Mark Rutte said his government may have to reconsider the treaty if the vote is valid.

The Dutch parliament has already ratified the EU agreement and the result of the vote is not binding...

"Voters were asked to either back the deal, reject it or fill in a blank box. During the day, turnout seemed to be lower than in national or local elections..."

"Under the 2015 Dutch law that created advisory referendums, the result will be considered valid only if turnout is higher than 30%.

The exit polls initially put turnout at 29%, before updating it to 32% with a margin of error of 3%.

The vote comes less than three months before British citizens decide in their own referendum whether to leave the EU altogether."

'Blank Box' option? ... "Am I bovvered?"

Centred ...

"The government says the mail drop will cost £9.3m, or about 34p per household...."

"The latest leaflet does not include any images of David Cameron."

Is he bovvered?


Capt. 'Bob''s picture

Souped or Duped

Capt. 'Bob''s picture

EU: Comfort Zones & TTIP

Captain Qahn's picture

EU & The Soloman ...?

If only Carlsborg did the EU ...

Ah, so ....

Alas the Tories at SBC refused to discuss the EU yesterday ... hey ho

Richard will be in Skardiborgas on 28th May for a public debate on the EU referendum, subject to erm environmental conditions ;-))

Mind be good to get a Twonk there too ...

Mebbe.... or have they all been sKippered.

Benefitz Betty's picture

EU: Germany has Potholes

And other little interesting snipets all wrapped up ;-)

"So what happened to the famed German traits of efficiency, accuracy and punctuality?..."

"The creaking rail system is just one part of what is wrong with Germany’s infrastructure, which economists have warned is now in such a shoddy state, due to years of underfunding, that it is starting to have a serious impact on Germany’s GDP. One state premier even suggested introducing a pothole tax to make up for the lack of funding.

The €55bn railway refit is a mere fifth of the €264.5bn investment programme announced by transport minister Alexander Dobrindt in March to upgrade Germany’s autobahns, railways and waterways. Most of the money will be used not to build new structures, just to maintain the existing substance. “We’re aware there’s a lot of catching up to do,” Dobrindt stressed."

"Low interest rates and a surplus federal budget mean Germany could have been readily borrowing for several years to pay for upgrades, but the idea of going into debt is toxic to most voters, who consider debt to be immoral. So the majority of politicians, Merkel included, have simply chosen not to go there."

Tis like Life Swap, Wife Swap or somin ... or mebbe tis a lottery .. hi ho to all the Skardiborgs earning a crust in Germany. Hmmm .... one in one out.


Benefitz Betty's picture

EU: Wide Open on Titanium

tis a lottery.

Q: Wot has this to do with anything?  


"“Our life is good. We grow what we need. Yes, it is true we don’t have much that is modern and clean and so on, but I don’t want to go anywhere else. Nor do my neighbours, said Mambonte Undule, 75, who has lived and farmed in Xolobeni all her life. ”"

"The report, "A Sea Change", found that fewer than three in five senior executives interviewed were positive about the industry's future, while a fifth were pessimistic.

Suggestions in the report were that infrastructure, including the pipeline network, could be handed over to a third party company to ensure co-operation, or it could be nationalised.

Interviewed anonymously, the industry leaders were critical of the lack of leadership.

They suggested in the PwC report that the industry needed a dominant leading figure. This person may have to come from a different sector, to shake up inefficient, older-thinking of the existing regime."

A:  Does the Mining Industry have a global regulatory 'body'?  

Ah, so ...

"Since offenders continue to offend, a comprehensive, muscular and mandatory global regulatory regime is required."

Hmmm ...  life outside the EU.

Captain Black's picture

TTIP - Flaming Florence
"McDonald's is suing Florence for €18m after it was blocked from opening a restaurant on one of the Italian city's most historic plazas.
The fast-food giant had its plans for an outlet on the Piazza del Duomo rejected by Florence's mayor in June.
The decision was upheld in July by a technical panel in charge of preserving the city's ancient heart.
But McDonald's, which modified its proposals to fit with city guidelines, has now launched a bid for damages.
The chain is claiming it has been discriminated against, and wants to recoup the €17.8m (£15.9m; $19.7m) it estimates it will lose over the next 18 years, according to Italian newspaper Firenze Today.
Right to say no
It argues it put forward a plan to "operate respectfully towards the local policies, even accepting to introduce typical local products in our offer, as requested from the local commerce regulation".
"We completely agree that the cultural and artistic heritage and the Italian historical town centres have to be protected and guaranteed, as well as the traditions and the historical small shops, but we cannot accept discriminatory regulations that damage the freedom of private initiative without being advantageous to anyone," McDonald's told the BBC in a statement.
But Florence's mayor Dario Nardella says they were not prejudiced in rejecting the bid to open a branch on the piazza, famous for its Gothic and Renaissance architecture.
He told the city council earlier this year: "McDonald's has the right to submit an application, because this is permitted under the law, but we also have the right to say no."
This is the second high profile spat over an Italian location this year for McDonalds. Last month it was reported that cardinals at the Vatican had been angered by plans to open a branch in a piazza next to Saint Peter's Square."
Hunters Row?
Give me my bowl
Of Dominoes.
Give me my pastas on the Ask
And as for Pot,  Pop and Noodles
Hotcha, Kim Dim & Itsu, Tofungo
In Ceasers Hills or Toblerome
Oh, ok. ...

Captain Black's picture

Catch 22
Oh. FFS (Fifty First State)
Toberlone ...
Oh & F off Elon ...
Or change your name... tis 'not a pleasant' smell ;-)
Mind tis only natural for someone at the top of their tree to, erm ...  wanna change trees.
Auf ...