Athens, July 13 2011


The Ministry of Finance has issued the following press release:

Following a series of recent downgrades in the Eurozone, today Fitch has downgraded the Hellenic Republic debt to “CCC”.

According to the announcement by Fitch, this downgrade has occurred because the final shape of Greece’s new support programme until mid-2014, with a new loan by the Eurozone and the IMF, as well as the final form of private sector participation, have not yet been finalized.

However, according to Eurogroup’s decision on Monday, the new programme will come into effect before September 15, when the new disbursement to Greece will be made. At the same time, the exact form of private sector involvement is being finalized through intense deliberations within the guidelines of Eurogroup, taken in the presence of ECB and IMF.

It is therefore bewildering why Fitch went ahead with today’s rating action, despite the fact that the timetable of Eurozone’s and IMF’s actions is known and adhered to.

Today’s rating action by Fitch does not affect the Greek banking system and this will become clear as soon as the new programme comes into effect.

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