Bankers, Mexico Agree on Debt Terms: The...

Bankers, Mexico Agree on Debt Terms: The Mexican government and a committee of banks announced an agreement on detailed language covering the historic debt reduction plan reached between that nation and the bank group in July. The language, called a term sheet, will be sent to the more than 500 banks owed money by Mexico, officials said. The term sheet covers the period of 1989-92 and applies to about $53 billion of Mexico’s foreign debt, which totals about $107 billion. The agreement represents the first significant reduction in a Third World government’s debt to commercial banks.