Bond for success. (Panorama).Mexico Mexico, city, Mexico Mexico or Mexico City, Span. Ciudad de México (Méjico), city (1990 pop. 8,236,960; 1991 met. area est. 20,899,000), central Mexico, capital and largest city of Mexico. issued the first U.S. bond with a built-in provision for debt restructuring Debt Restructuring A method used by companies with outstanding debt obligations to alter the terms of the debt agreements in order to achieve some advantage. Notes: . The so-called collective action clause in its US$1 billion sovereign band offering allows the country to change the debt terms if at least 75% of the creditors agree. While some investors feared the clause would reduce interest in the bonds, Goldman Sachs The Goldman Sachs Group, Inc., or simply Goldman Sachs (NYSE: GS) is one of the world's largest global investment banks. Goldman Sachs was founded in 1869, and is headquartered in the Lower Manhattan area of New York City at 85 Broad Street. and J.P. Morgan Morgan, American family of financiers and philanthropists. Junius Spencer Morgan, 1813–90, b. West Springfield, Mass., prospered at investment banking. , which jointly managed the deal, said $1.7 billion in offers were received for the bonds. Analysts say that the clause, which has been included in U.K. offerings, will provide borrowers and creditors with negotiating flexibility to avoid a default like Argentina's in 2001. |
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