Summary Box: Greece says bond talk progressing

AP News
Posted: Jan 10, 2012 1:12 PM
Summary Box: Greece says bond talk progressing

BOND TALKS: Greece's talks with private creditors over a bond swap deal that is a vital part of the country's second international bailout are making progress and are close to reaching an agreement, officials said.

THE PROPOSAL: Under the deal, creditors would accept a 50 percent reduction in the face value of Greek bonds they hold, potentially cutting the country's debt by euro100 billion ($128.08 billion).

THE BACKGROUND: The bond swap, part of a euro130 billion new international rescue package agreed by European leaders in October, seeks to ease Greece's massive deficit and help the country emerge from financial crisis.