ECONOMY

ABN Amro turns down PSI offer

ABN Amro Group NV, the lender nationalized by the Netherlands in 2008, declined to swap corporate loans backed by the Greek state for new securities, saying Wednesday the country?s debt-restructuring process is unclear.

?There remained insufficient clarity as to why our loans were included? on a list by the Greek Finance Ministry in February, said Jeroen van Maarschalkerweerd, a spokesman for the Amsterdam-based lender. He said ABN Amro informed Greek representatives of its decision at a meeting in London. ABN Amro holds about 1.3 billion euros of Greek government-guaranteed corporate loans and notes, including loans to public transportation companies.

Last year, the bank wrote down 880 million euros on the debt, which is governed by UK law. Greece said last week that it exchanged 20.3 billion euros of bonds issued under foreign law for new securities as part of the biggest debt restructuring in history.

Together with the domestic law bonds dealt with in March, Greece reorganized 198.6 billion euros of debt, according to a statement on the Finance Ministry?s website on April 12. That?s about 96.6 percent of the 205.5 billion euros of notes eligible for restructuring, the government said.

[Bloomberg]