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Monday, May 28
2012, 5:39 AM
The European Commission is poised to soon unveil plans for putting the burden of rescuing...
The European Commission is poised to soon unveil plans for putting the burden of rescuing collapsing banks on bondholders rather than taxpayers, the FT reports. Regulators will be able to fire the management, and write down non-guaranteed deposits and senior unsecured bondholders. A major bondholder says that while it's "not a bad framework,” the plan is "not going to be well received." (see also)