U.S. Banks’ Greek Risk ‘Lot Less’ Than $33 Billion, Schorr Says
This article is for subscribers only.
U.S. banks face “a whole lot less” risk to a Greek debt restructuring or default than implied by the almost $33 billion in “guarantees extended” listed in a recent report by the Bank for International Settlements, according to Glenn Schorr, an analyst at Nomura Holdings Inc.
The $32.7 billion figure, which made up the majority of “other potential exposures” of U.S. banks to Greece listed by the BIS as of Dec. 31, doesn’t include hedges or collateral U.S. banks have in place on those guarantees, Schorr wrote today in a note to investors.