Argentina's default should not have consequences for the expected sale of the subsidiary Telecom Argentina, on which the managing director Marco Patuano has also tried to provide reassurance. In fact, the half-yearly report recalls that "the price for the sale of the Sofora-Telecom Argentina Group was defined in US dollars, consequently in this transaction the Telecom Italia Group is not subject to the risk on the exchange rate trend of the Argentine Pesos ”.
The indication is contained in the chapter “Risks and main uncertainties”, where it is underlined that “the Argentine State is in default for not having honored some obligations related to its debt contracted in foreign currency. This event could in any case accelerate the negative dynamics of the macroeconomic context with repercussions on the trend of the local currency exchange rate and on the level of inflation”.
