As the European Union dithers and the Germans temporize at least until their May 9 election,1 financial markets (and belatedly even Standard and Poors) have awarded junk bond status to Greek debt and made a Greek default their central forecast scenario. Europe appears headed down the road of an abrupt, chaotic default proceeding or a more organized debt restructuring agreement in which creditors take a haircut on their Greek debt, possibly in return for further austerity measures by the Greeks.