Auditors find €7.6 billion hole in Austria's "bad bank", Heta Asset Resolution AG - Austria's government says it will not give Heta "a single euro" - Emergency legislation passed last month means bondholders to be bailed in - Risk of contagion high as other banks may hold Heta bonds - “Bail-in is now the rule” - EU Finance Minister Noonan - Austrian bondholders today … international depositors tomorrow ...

Market Update Today’s AM fix was USD 1,207.75, EUR 1,081.20 and GBP 786.14 per ounce. Yesterday’s AM fix was USD 1,216.75, EUR 1,084.93 and GBP 789.48 per ounce. Gold fell 0.46% percent or $5.60 and closed at $1,205.50an ounce yesterday, while silver slipped 1.21% or $0.20 to $16.37 an ounce. - Auditors find €7.6 billion hole in Austria's "bad bank", Heta Asset Resolution AG - Austria's government says it will not give Heta "a single euro" - Emergency legislation passed last month means bondholders to be bailed in - Risk of contagion high as other banks may hold Heta bonds - “Bail-in is now the rule” - EU Finance Minister Noonan - Austrian bondholders today … international depositors tomorrow ... There are signs that the debt induced banking-crisis which rocked the global economy in 2008 - only to be postponed with vast infusions of new unpayable debt courtesy of the taxpayer - may be set to resume. Bondholders are feeling the painful impact of the EU’s new bank resolution regime and bank bail-ins for the first time after the Austrian government said it would pour no more money into its ‘bad bank’, triggering a fall of nearly 30 per cent in the value of some bonds. Austria's Financial Market Authority (FMA) has discovered a €7.6 billion capital shortfall on the balance sheet of Heta Asset Resolution AG, the "bad bank" that was formed from the remnants of failed lender Hypo Alpe Adria. The Austrian government - who have heretofore plied Heta with €5.5 billion - held an emergency meeting to discuss the development. They concluded that they would not hand over "a single euro" to the bad bank.

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