FWIW
ABU DHABI (Reuters) - Abu Dhabi, capital of the United Arab Emirates and one of the world's top oil exporters, will "pick and choose" how to assist its debt-laden neighbor Dubai, a senior Abu Dhabi official said on Saturday.
"We will look at Dubai's commitments and approach them on a case-by-case basis. It does not mean that Abu Dhabi will underwrite all of their debts," the official told Reuters by telephone.
The government official declined to be identified because he is not authorized to speak to the media.
"Some of Dubai's entities are commercial, semi-government ones. Abu Dhabi will pick and choose when and where to assist," he said.
On a separate note I'll bet that some people are making an awful lot of money out of this panic - I thought that Short Selling was supposed to be illegal?
In a reflection of how sure investors were that Dubai would meet these payments, the bonds were trading at a 10 percent premium to face value earlier this week. They are now trading at around half of face value.