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Possible Euro break-up: plans on hold while contingency procedures and systems are being kept in pla

In September 2012 Citi's chief economist put the likelihood of Greece leaving the euro within 18 months at 90%. These concerns on Greece and the Euro zone have lessened, but they have not gone away.

Most companies developed a plan on what to do if Greece left the euro and/or if the Euro collapsed. Many also set up a committee. These have mostly been stood down, but not abandoned. Some projects have continued, particularly those concerning payments of employee payroll and stress testing certain procedures to make sure they truly work. As one corporate treasurer explained, 'Until we are absolutely sure they work we cannot relax.' However, he felt that a single event could make the Euro crisis flare up again, which is why they need to be sure the contingency plans really work.

Liquidity management
Most corporate treasury departments have changed their liquidity management in the eurozone so that any spare cash and funds are swept daily from the weaker Euro countries. Some even sweep, each day, all funds from the Euro zone. Few, if any, corporate treasurers seem to be considering changing these arrangements, which really shows how much they think that the Euro crisis is over.

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