Bloomberg.com recently published an article discussing what could happen to Citgo’s assets if Venezuela defaults. Although Venezuela’s bondholders have held that they would be able to seize the country’s U.S.-based gas units such as Citgo if the country defaults, it would be difficult for them to convince U.S. Courts that Citgo is responsible for the country’s obligations.Buchanan Ingersoll & Rooney Public Finance Shareholder David J. Fernandez was quoted in the article, telling the publication that bondholders’ ability to get their hands on Citgo is “practically nil.” He continued, “Citgo is not assuming any liability or responsibility for any of Venezuela’s debts or obligations.”

Read the full article – “Who Gets Citgo’s Assets If Venezuela Defaults?” (December 16, 2014, Bloomberg)