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Italy considers suspension of Veneto Banca bond repayment - source

ROME, June 16 (Reuters) - The Italian government is considering intervening to prevent troubled lender Veneto Banca from having to repay 86 million euros ($96 million) worth of subordinated bonds due to mature next week, a source said on Friday.

The cabinet will discuss the matter later on Friday, the source added. If Veneto Banca were to honor the repayment, it could anger other bondholders who risk bearing large losses under the rules of any future bailout of the lender. ($1 = 0.8951 euros) (Reporting Giuseppe Fonte; Editing by Mark Bendeich)