Wednesday, October 15, 2008

Why We Voted Against the Lisbon Treaty - Episode 212




So when did:


German Chancellor Angela Merkel has strongly criticised the Irish Government's unilateral action in providing a blanket State guarantee to Irish-owned bank.

At an emergency summit of the big four EU states in Paris at
the weekend, Dr Merkel said she was "not amused" by the scheme and called on the European Central Bank and the European Commission to engage in an early dialogue with the Government on it.

"We need a consolidated and coherent approach and we also have to see that the way we are proceeding naturally does not impact negatively on other member states," she said at the end of a summit held to propose ways to shore up confidence in the banking industry.

Germany on Sunday guaranteed all private bank accounts
and negotiated a 50 billion euros ($69 billion) bailout deal for Hypo Real Estate AG as Europe's second largest economy sought to ward off financial crisis.
become:


German Chancellor Angela Merkel's government has announced a bailout plan for Hypo Real Estate.

The Finance Ministry and private banks reached a deal late Sunday to infuse an additional line of credit worth up to 15 billion euros ($21 billion) into the embattled real estate giant, expanding on an earlier 35 billion euro ($48 billion) bailout plan that would have found the government and private banks splitting the bill.

The earlier deal fell apart Saturday when Hypo announced that a consortium of unnamed financial institutions had backed out. That prompted banking executives and lawmakers to convene in the capital for feverish talks toward the new deal they unveiled late Sunday.

The new package includes the original 35 billion euros
($48.4 billion) plan with the government paying up to 27 billion euros ($37 billion) of that sum and banks funding the remainder as a line of credit.

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