NEW YORK, Dec. 11, 2020
NEW YORK, Dec. 11, 2020 /PRNewswire/ -- The Ad Hoc Bondholder Group (the "Group") of the Province of Cordoba (the "Province") notes that on December 10, 2020 the Province failed to make the scheduled payment of interest on its 7.125% Notes due 2021. This represents the first time the Province has defaulted on its international financial obligations.
It is evident to the Group that the decision to miss the scheduled international bond payment was a matter of choice and not necessity. The Province's recently published 2021 budget makes clear that the Province has ample capacity to pay all its creditors, including international bondholders, while remaining in healthy surplus.
The Group has previously communicated to the Province a willingness to consider adjustments to debt terms that will provide appropriate short term relief to bolster the Province's ability to re-direct spending priorities to address the challenges presented by the COVID-19 pandemic. The Group remains willing to provide such accommodation which it believes presents a superior approach to confrontation with investors who have supported the Province's investment programs over many years.
White & Case LLP
Erin Hershkowitz in New York
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