ISDA sets auction terms, dates for settlement of Abitibi, Charter credit derivative trades

By Jennifer Chiou

New York, March 27 - The International Swaps and Derivatives Association, Inc. announced that it will launch a credit default swap auction to facilitate the settlement of credit derivatives trades referencing Abitibi-Consolidated Inc. and Charter Communications Holdings, LLC.

According to Creditex, the auction date for Abitibi is April 17 and Charter's falls on April 21.

ISDA said that it will publish the auction terms on its web site. Markit and Creditex will administer the auctions.

AbitibiBowater, which was formed in 2007 through the merger of U.S.-based Bowater and Canada's Abitibi-Consolidated, failed to make payment on its loan debt on March 13, and Charter filed on Friday a Chapter 11 petition in the U.S. Bankruptcy Court for the Southern District of New York.

AbitibiBowater is a Montreal-based producer of newsprint, commercial printing papers market pulp and wood products.

Charter Communications is a St. Louis-based provider of video services, high-speed internet services and telephone services to residential and commercial customers on a subscription basis. Its Chapter 11 case number is 09-11435.

ISDA is based in New York and represents participants in the privately negotiated derivatives industry. Creditex is a New York-based subsidiary of IntercontinentalExchange, Inc. that provides execution and processing of credit derivatives.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.