Greece moves closer to vital bond-holder deal

GREECE was closing in on an initial deal with private bond holders last night that would prevent it from tumbling into a chaotic default but lose investors up to 70% of the loans they have given to Athens.

Any agreement will be followed by technical talks over the weekend, sources close said.

Private bondholders would most likely incur a real loss of 65%-70%, with the new bonds having a 30-year maturity and offering a progressive coupon, or interest rate, averaging out at 4%, a banking official told Reuters.