World News

Some Bank of Cyprus Savers Could Lose 60 Percent

Officials in Cyprus say customers at the country's largest bank may lose up to 60 percent of whatever savings they have above $128,000 .

Just 37.5 percent of that savings will be converted into bank shares, while the rest may be frozen, take another form of equity or, ultimately, never be paid back.

Although Bank of Cyprus depositors should eventually be able to convert their shares back to money, at this point, the shares hold little value, and it is not certain when if ever they will regain the value of the customers' losses.

The terms are part of a European bailout package to save Cyprus from bankruptcy.

This is the first time in Europe's handling of its three-year debt crisis that a nation's bank customers have been forced to bear some of the cost of a rescue package.

Banks in Cyprus reopened Thursday for the first time after an almost two-week shutdown, while the government negotiated the $13-billion bailout from European neighbors, the European Central Bank and the International Monetary Fund.

Featured Story

Civil defense members try to put out a fire at a site hit by what activists said was a barrel bomb dropped by forces loyal to Syria's President Bashar al-Assad in the Qadi Askar neighborhood of Aleppo, March 5, 2015.

Tunnel Bombs Highlight Savagery of Aleppo Fight

Rebels have used tunneling tactic near government buildings, command posts or supply routes to set off explosives; they detonated their largest bomb this week under Syria's intelligence headquarters More