When the bailout of Greece occurred in 2010, the IMF and the Euro Zone put up 110 billion in euro loans.
The largest Greek exposure (40%) at the time was French banks.
Over time, the French issued there own bonds to transfer the Greek exposure and lowered their overall Greek exposure (today about 8 billion euros) by selling their bonds mainly to Germany, Italy and Spain.
Today, Italy is exposed to Greece to the tune of 39 billion euros and Spain 25 billion…this puts Italy and Spain much further along to taking a final hit in the Euro Crisis.
How will Mario Draghi “do whatever it takes” to save the PIIGS when the math doesn’t work?
