So now we get word of this:
NICOSIA, Cyprus--Cyprus and its prospective international lenders are considering altering brackets on a one-off deposit levy agreed to as part of a bailout deal reached Saturday that will see savers suffer losses in exchange for the country's EUR10 billion bailout, an official with knowledge of the situation said Sunday.The plan that is currently under consideration will leave the target revenue of the extraordinary levy unchanged at EUR5.8B but will seek to protect smaller depositors.According to the official a new plan would see deposits up to EUR100,000 taking a loss of under 5%; of EUR100,000 to EUR500,000 under 10%; and over EUR500,000 of about 13%.The original deal that Cyprus struck with its euro-zone peers and the troika of the European Central Bank, the European Commission and the International Monetary Fund is to impose a one-off levy of 6.75% to all deposits up to EUR100,000 and of 9.9% to those above.While there was no indication that a new, more nuanced plan to cushion the pain for smaller depositors would be eventually agreed to, one senior European Union official said that it was feasible to change the original plan in cooperation with the Cypriot authorities.Cypriot president Nicos Anastasiades in a televised address to the nation Sunday evening hinted that talks on a new plan were underway.""I continue to fight so that the eurogroup's decisions are differentiated in coming hours so that the consequences can be limited, particularly for small savers," he said," Mr. Anastasiades said.
So first they announce the 6.75% on $130,000 and below, 9.9% on $130,000 and above, then they say:
"Okay, we hear your pain.
We'll change it to less than 5% for under $130,000, less than 10% for $130,000- $710,000 and 13% above $710,000.
This deal is the best we could do considering the circumstances, and really, compared to the deal Bloomberg and Klein, er, Germany and the IMF really wanted, it scrapes the skies it's so good!"
Yeah, I've seen this kind of thing before.
The reality is, the deal scrapes the dogshit off the street and hands it to everybody for dinner no matter what they change it to.
Shit sandwich anyone?