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US Taxpayers Just Paid $780 Million To Fund The Latest Greece Bailout Tranche
ZeroHedge ^ | 7/8/2011 | Tyler Durden

Posted on 07/08/2011 7:38:49 PM PDT by mojito

The IMF is delighted to announce that it just approved a €3.2 billion disbursement of cash for Greece, its fifth, as part of the €12 billion in money that Greece needs in order to continue operating in the months f July and August.

And just for what purpose will this money be used, one may ask? Well, as explained a few weeks ago, in Greek Math: €12 Billion In, €18.2 Billion Out the entire amount will be promptly recycled by global financial institutions in the form of debt maturities and interest payments, which amount to €18.2 billion in the months of July and August. Simply said ECB, EU and IMF money in, money owed to bankers out.

The kicker: 17.09% of the money coming from the IMF, comes from, that's right dear US taxpayer, you (and since 21% of the quota contributions allocated to the IMF are deemed "non-usable", the actual number funded by the US is likely much higher). But this plot has a bonus kicker: as we reported on Wednesday, the actual Greek debt is no longer owed by European banks to the extent it had been previously expected: a development that threatens to scuttle the entire second Greek bailout plan as currently proposed.

So as the banks have been selling Greek debt, who has been buying? Mostly hedge funds, such as everyone's favorite John Paulson. So to recap: US taxpayers have just paid out about $780 million of the $4.6 billion in order to fund interest owed to... hedge funds.

(Excerpt) Read more at zerohedge.com ...


TOPICS: Business/Economy; Crime/Corruption; Extended News
KEYWORDS: default; economy; europeanunion; globalism; greece; hedgefunds; imf; taxdollarsatwork; trade
Happy Friday!
1 posted on 07/08/2011 7:38:53 PM PDT by mojito
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To: mojito
Headsmack
2 posted on 07/08/2011 7:42:02 PM PDT by Pan_Yan (Those that despise people will never get the best out of others and themselves. Tocqueville)
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To: mojito

sfl


3 posted on 07/08/2011 7:42:23 PM PDT by phockthis
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To: mojito
IMF is "delighted"? lmao! I wonder if the IMF will be like "delighted" that when all is said and done, despite the multiple bailouts of Greece, that Greece still defaults...a default that will lead to a domino of defaults in Europe. IMF apparently has not received the memo concerning Einstein's definition of insanity.....idiots. =.=
4 posted on 07/08/2011 7:43:00 PM PDT by cranked
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To: mojito

we need to stop trying to prop up failed companies and countries and instead we should let them fail and watch as something else takes its place.


5 posted on 07/08/2011 7:44:04 PM PDT by GeronL (The Right to Life came before the Right to Happiness)
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To: cranked

They will fall anyway, we shouldn’t spend billions to prop them up. The longer they keep them teetering the worse the fall will get.


6 posted on 07/08/2011 7:45:53 PM PDT by GeronL (The Right to Life came before the Right to Happiness)
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To: mojito
Photobucket
7 posted on 07/08/2011 7:49:35 PM PDT by Doofer
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To: mojito
I could be wrong, but I sure wonder if Greece will be just the first of many dominoes to fall....
8 posted on 07/08/2011 7:50:45 PM PDT by F15Eagle (1 John 5:4-5, 4:15, 5:13; John 3:17-18, 6:69, 11:25, 14:6, 20:31; Rom10:8-11; 1 Tim 2:5; Titus 3:4-5)
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To: mojito

WHY??????


9 posted on 07/08/2011 7:52:12 PM PDT by Cheetahcat ( November 4 2008 ,A date that will live in Infamy.)
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To: Doofer
Photobucket
10 posted on 07/08/2011 7:53:44 PM PDT by Doofer
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To: Cheetahcat

Maybe I’m stupid and not a one-worlder...but I feel the US taxpayers shouldn’t give Greece 1 cent. Let them sell their Parthenon or some of their islands. Loser socialists!


11 posted on 07/08/2011 7:54:22 PM PDT by hal ogen ( of Rights.)
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To: mojito

We’re broke - did we borrow the money from China for this stunt?


12 posted on 07/08/2011 7:54:28 PM PDT by GOPJ (Black flash mobs: street level reflection of liberal elite's hatred of middle class America..)
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To: F15Eagle

In answer to your question: Just yesterday, the European Central Bank said they would continue to accept Portuguese bonds as collateral for new loans, even though Moody’s had just downgraded Portuguese debt to junk status. In other words, Portugal is bankrupt, but the ECB will continue throwing bad money after bad.

Today, trading had to be halted on Italian exchanges for a number of Italian banks and insurance companies with exposure to PIIGS debt.


13 posted on 07/08/2011 7:58:05 PM PDT by mojito
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To: mojito

Oddly enough, when it’s all over, I think the Euro or some such will be the last one standing ... or some new “world currency” when they admit the nations are unable to save one another, let alone themselves.


14 posted on 07/08/2011 8:03:29 PM PDT by F15Eagle (1 John 5:4-5, 4:15, 5:13; John 3:17-18, 6:69, 11:25, 14:6, 20:31; Rom10:8-11; 1 Tim 2:5; Titus 3:4-5)
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To: hal ogen

“Maybe I’m stupid and not a one-worlder...but I feel the US taxpayers shouldn’t give Greece 1 cent. Let them sell their Parthenon or some of their islands. Loser socialists!”

Exactly,This reminds me of the Ant and the grasshopper.


15 posted on 07/08/2011 8:04:05 PM PDT by Cheetahcat ( November 4 2008 ,A date that will live in Infamy.)
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To: GOPJ
...did we borrow the money from China for this stunt? Probably not. Most likely, uncle Ben just printed it up.
16 posted on 07/08/2011 8:06:38 PM PDT by mojito
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To: mojito

We’re going to have to work into our 80’s so that Greeks who hate us can retire in their 50’s.

Have a nice day. :)


17 posted on 07/08/2011 8:09:49 PM PDT by Tzimisce (Never forget that the American Revolution began when the British tried to disarm the colonists.)
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To: mojito

Bailouts?? Are not the payments for interest due only with no principal reductions?...until the next rollover? Are not all so-called bailouts only interest related, and only good until the next group of rollovers comes due?


18 posted on 07/08/2011 8:47:25 PM PDT by givemELL (Does Taiwan eet the Criteria to Qualify as an "Overseas Territory of the United States"? by Richar)
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To: givemELL

Yep.


19 posted on 07/08/2011 9:50:30 PM PDT by mojito
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To: mojito

DEFUND socialist collectives, foreign (Greece) and domestic.

DEFUND UNaccountable bureaucracies (socialists) UN and IMF.


20 posted on 07/08/2011 9:51:57 PM PDT by PGalt
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To: mojito

Let’s see, that’s about 12,000 salaries for a year, isn’t it? But rather than do that, some intelligent person decided to flush it down the Greek toilet, never to be seen again. Now there’s money well spent, huh? Anyone know what the total foreign aid give-away budget is?


21 posted on 07/09/2011 1:52:09 AM PDT by CanaGuy (Go Harper! We gave you a majority, now get busy!)
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To: mojito
So to recap: US taxpayers have just paid out about $780 million of the $4.6 billion in order to fund interest owed to... hedge funds.

While our debt in increasing substantially, we continue to spend money we do not have to bail out an economy based on socialism. Socialism has failed 100% of the time it has been tried. Our socialist economy is failing, but we insist on emulating the Socialist Europeans, and other failing economies such as Communist Cuba. Stupid is as stupid does, ehh?

22 posted on 07/09/2011 3:11:24 AM PDT by olezip
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To: mojito

I declare this debt as odious.


23 posted on 07/09/2011 3:14:08 AM PDT by marbren
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To: mojito; PGalt; Doofer; GOPJ; bigbob; Biggirl; bruinbirdman; CanaGuy; Cheetahcat; Clintonfatigued; ..

just great!@#$%

Their average family of four shoulders $144,990 of their greek debt.

So OUR average family of four pays THEIR average family of four $212 so that they can keep up their lavish unfunded federal spending.

PLUS, we borrowed that $780 Million from China to pay Greece!

Our average family of four already shoulders $491,716 of our own federal debt!


24 posted on 07/09/2011 6:08:03 AM PDT by Future Useless Eater (Chicago politics = corrupted capitalism = takeover by COMMUNity-ISM)
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To: mojito

Bumper sticker idea: Honk if I’m paying for your car, your mortgage, and your big, fat Greek bailout.


25 posted on 07/09/2011 6:14:12 AM PDT by mewzilla
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To: Future Useless Eater
PLUS, we borrowed that $780 Million from China to pay Greece!

I don't think China is buying any more of our debt. We're printing money.

26 posted on 07/09/2011 6:14:58 AM PDT by Pan_Yan (Those that despise people will never get the best out of others and themselves. Tocqueville)
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To: mojito
Check this out....

What Would a Greek Haircut Mean for Germany?

The last two sentences...

Since Germany's federal government acted as the loans' guarantor, the finance minister would have to make up for any shortfalls. If Greece gets a 50 percent haircut on its loans, that would cost the ministry more than €4 billion.

We're not bailing out out Greece.

We're bailing out the foreign banks that were dumb enough to lend them money.

27 posted on 07/09/2011 6:18:31 AM PDT by mewzilla
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To: mewzilla
Asset managers face biggest haircut if Greece defaults
28 posted on 07/09/2011 6:20:26 AM PDT by mewzilla
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To: mojito
And check this out....

Who Has The Most Exposure To Greece?

Even the U.S. banks holds $1.8 billion worth of distressed Greek securities with an additional $4.7 billion of holdings in the private sector. When all types of claims and exposures are considered, the United States has $43.1 billion dollars invested in Greece....Bank of America, on the other hand, shows its direct sovereign and non-sovereign exposures to the aforementioned countries; cumulative Greek exposure amounts to only $677 million. Other banks did not reveal their figures.

Gee, wonder why...?

29 posted on 07/09/2011 6:33:17 AM PDT by mewzilla
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To: Future Useless Eater

dang! I slipped some spreadsheet rows and messed up the populations....

it should have said...

Their average family of four shoulders $198,102 of their greek debt.

So OUR average family of four pays THEIR average family of four $290 so that they can keep up their lavish unfunded federal spending.

PLUS, we borrowed that $780 Million from China to pay Greece! (ok we just printed it)

Our average family of four already shoulders $178,526 of our own federal debt!


30 posted on 07/09/2011 6:40:44 AM PDT by Future Useless Eater (Chicago politics = corrupted capitalism = takeover by COMMUNity-ISM)
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To: Future Useless Eater; AdmSmith; AnonymousConservative; Berosus; bigheadfred; Bockscar; ColdOne; ...

Thanks Future Useless Eater.

http://www.freerepublic.com/focus/news/2746002/posts
http://www.freerepublic.com/focus/news/2746001/posts
http://www.freerepublic.com/focus/news/2745999/posts
http://www.freerepublic.com/focus/news/2745996/posts


31 posted on 07/09/2011 6:55:38 AM PDT by SunkenCiv (Yes, as a matter of fact, it is that time again -- https://secure.freerepublic.com/donate/)
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To: mewzilla
Honk if I’m paying for your car, your mortgage, and your big, fat Greek bailout.

Or a great tagline...

32 posted on 07/09/2011 7:00:53 AM PDT by GOPJ (Honk if I’m paying for your car, your mortgage, and your big, fat Greek bailout - mewzilla)
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To: GOPJ

LOL! Thx!


33 posted on 07/09/2011 7:01:57 AM PDT by mewzilla
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To: Future Useless Eater
We have this America hating Kenyan Turd, giving away our country,Greece is a European problem, we have our own to contend with,they can sell off some property to support their non-productive commie lifestyle.
34 posted on 07/09/2011 7:08:47 AM PDT by Cheetahcat ( November 4 2008 ,A date that will live in Infamy.)
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To: Future Useless Eater

Why not step out of the way and let China bail them out?


35 posted on 07/09/2011 12:53:04 PM PDT by Clintonfatigued (Illegal aliens collect welfare checks that Americans won't collect)
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To: Future Useless Eater; mewzilla

Thanks for the ping back to the thread and your comments. Thanks for your links & information, mewzilla.

BTTT!


36 posted on 07/09/2011 5:37:44 PM PDT by PGalt
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To: mojito

Hmmm. Our taxpayer money paying Greek interest to hedge funds?

Must be one of those public-private partnerships we keep hearing about.


37 posted on 07/09/2011 5:53:15 PM PDT by Tolerance Sucks Rocks (July 23, 2017 - This is Ellis Wyatt. I am on strike.)
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To: GOPJ

"So, we're borrowing from the Chinese, to pay the IMF, to give it to Greece, to pay hedge fund swindlers, one of whom is actually a Martian! Hee-hee-heeee!"

38 posted on 07/09/2011 6:00:00 PM PDT by Tolerance Sucks Rocks (July 23, 2017 - This is Ellis Wyatt. I am on strike.)
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To: Tolerance Sucks Rocks

Post/tagline BUMP!


39 posted on 07/09/2011 6:35:14 PM PDT by PGalt (I've been DEFUNDING the POSOTUS socialists economy for about 2 years now.)
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