Rodge Cohen Discusses European Debt on Bloomberg TV

October 27, 2011

On October 27, Mr. Cohen discussed the current state of the EU's banking system and recent debt agreement on a special program titled, “EU Breakthrough.” When asked about the recent EU announcement on Greece and Greek debt, Mr. Cohen commented, “I think we've made a step in that direction. I'm fond of what Winston Churchill said after the second battle of El Alamein: 'This is not the end. This is not even the beginning of the end, but perhaps it is the end of the beginning.'” In discussing the 50 percent loss that European banks are taking for their holdings in Greek debt, Mr. Cohen observed, “I think it's a fair deal when you look at the market price of this debt. It's something that the banks can tolerate.” In looking at the European agreement to expand a bailout fund for the debt crisis, Mr. Cohen explained, “Banks are not the engine of the economy, they support the economy. If the economy is not doing well, the banks aren't going to do well. The greatest risk to what was announced today is the overall economy of Europe not the specifics of the plan.”