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Dealers' panel says Greek restructuring agreement is not yet a credit event
FRANKFURT, Germany (AP) ' A panel convened by a securities dealers' association has ruled that the restructuring of Greece's government debt is not yet a credit event.
If the panel had ruled that a credit event had occurred, bondholders who hold credit-default swaps ' complex financial products that act as insurance against default ' would have been paid off.
The ruling by the committee convened by the International Swaps and Derivatives Association said the Greek bond deal is still being carried out and that the question could come up again.
Greece and its bondholders agreed on a debt swap that will give investors new debt worth only 53.5 percent of the face value of their former holdings.