The options facing Greece are dwindling as this Reuters article points out. Moody’s consider any lengthening of maturities on privately-held Greek debt as a default as would adjusting the terms and conditions of sovereign bonds. Any such default would immediately consign other sovereign bonds like Ireland or Portugal to junk status. Therefore a restructure of the EU bail-out package, lowering interest rates and lenghtening maturities, would seem to be the only available option. This will bring with it much stricter conditions which the Greek populace will no doubt fight tooth and nail. Or Greece leaves the EUR, surely the least desirable option. What a mess.