Argentine dilemma

Following the Argentine collapse, do Spanish banks with large exposures to the region – Banco Bilbao Vizcaya Argentaria (BBVA) and Banco Santander Central Hispano (SCH) – still hold value for bondholders or has the impact on their financial profiles left them with little value to offer? Should these and other exposed banks consider pulling out of Argentina altogether? Dresdner Kleinwort Wasserstein

Argentina has been rumbling like an angry volcano for months. Finally the top has been blown off the problem, resulting in not only financial chaos but serious political and social unrest. The situation is still extremely volatile and unclear, especially for the banking system. Therefore, from a European perspective, the volatility and lack of clarity are most relevant for the large Spanish