Credit traders ask Isda to rule on Sabine missed payment

Former Forest Oil bonds are trading in low to mid 20s

TAGS: Default

Comment by: Anonymous. Posted 8 years ago [2015-06-02 01:21:52]

Yet another Rubik's Cube type quandary regarding ISDA Credit Derivative docs. My guess is that the potential dispute is that the creditors' standstill voids the missed interest payment deadline as a Credit Event. That's a plausible argument, but what if buyer of CDS protection who alleges the Credit Event is one of the creditors approving the standstill?!