Archive for August, 2011

ISDA DC delays Texas Competitive ruling

ISDA voted to delay its decision on ruling whether a bankruptcy credit event has occurred with respect to Texas Competitive Electric Holdings Company LLC until September 1, 2011.

It was asked to rule on the event by Aurelius Capital Management …

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Australian creditors left with bitter taste

The Australian brewer of the county’s most popular Victoria Bitter (VB) beer, Foster’s Group, has seen its credit default swaps rise after British-South African brewer SAB Miller launched a hostile bid to takeover the company. As reported in Bloomberg,…

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Are Canadian banks the safest in the world

While pricing data and quotes on Canadian bank CDS is somewhat spotty (which itself could be interpreted as a signal of market strength since liquidity is often driven by demand, especially to protect from default, or alternatively as an area …

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Goodrich CDS crosses 70

While consumers may be familiar with their namesake tires, investors are more than familiar with Goodrich for their actual aerospace and defense businesses (Goodrich tires are no longer made by the Goodrich Corporation, formerly BF Goodrich) and that familiarity is …

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Westfield CDS up on expansion plans

Australian real estate company, Westfield Group, has seen its credit default swaps rise to 2009 levels of close to 200 bps after announcing expansion plans to move into Italy and Brazil by developing retail properties. Credit and Equity investors alike …

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Subprime real estate CDS prices off their highs

Subprime CDS prices (as measured by the ABX.HE.AAA.06-1 index) are still off their yearly highs above $90 reached earlier this year after a month of rising in July but then losing all those gains in August.

A recently released report …

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Unicredit bank subsidiaries diverge

The differing prices of Unicredit subsidiaries by Vincenzo Albano.

“CDS spreads on UniCredit debt show divergence CDS spreads for Italy’s UniCredit have tightened, while for its Austrian subsidiary they have widened opening a trading opportunity.”

And a stillshot of its …

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Sovereign credit risk more risky than corporates

The WSJ recently highlighted an occurrence that has been in place in different locales including the United States for quite a while now: market perceptions of credit risk that appear to be somewhat out-of-line with that of their home countries. …

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ILFC swaps fly higher

Airplane lessor International Lease Finance Corporation (ILFC), a unit of American International Group (AIG), has seen its credit default swaps double in the past few months as worries about an possible recession and profit hit in the overall airline sector …

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Hewlett-Packard CDS docs get printed up

The rise of Hewlett-Packard CDS is quite a remarkable journey, not that different from Tokyo Electric Power Comany’s (TEPCO‘s) rise after the Japanese earthquakes earlier this year. The 2 companies were at one time amongst the least-risky

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