Power Producers Seek Better Terms for $2 Billion Argentina Debt.

DEBT; GOVERNMENT securities; CORPORATE debt; EARNINGS announcements; PUBLIC debts; BUDGET deficits

Argentina's privately-run power producers, including Pampa Energia and Central Puerto, are rejecting the government's offer to settle a debt of around $2 billion. The producers want better terms for the debt, which accumulated when the government stopped paying them as part of efforts to reduce the budget deficit. The government's offer consists mainly of a sovereign bond trading at about 50 cents on the dollar. The power producers are concerned about the impact of a bad deal on investor perceptions and are insisting that the government does not accumulate any more debt going forward. [Extracted from the article]

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