Creditex and Markit, in partnership with 14 major credit derivative dealers, conduct Credit Event Auctions to facilitate the settlement of CDS contracts referencing the senior debt of Landsbanki Islands hf in Europe’s first ever Credit Event Auction.
The Credit Event Auction enables market participants to cash settle credit derivative transactions.
The final price for Landsbanki senior debt was determined to be 1.25%. Creditex and Markit are the official administrators of Credit Event Auctions. The auction was conducted in accordance with the International Swaps and Derivatives Association (ISDA) 2008 Landsbanki CDS Protocol.
Dealers could deliver orders electronically to Creditex and Markit platform. Markit calculated and verified the results, and published them on www.creditfixings.com.
The results of an auction to determine the final price for Landsbanki subordinated debt for the purpose of settling credit derivative transactions are published on www.creditfixings.com.
Future Credit Event Auctions will facilitate the settlement of CDS contracts referencing Glitnir Banki hf on November 5 and Kauping Banki hf on November 6. Creditex and Markit will play the role of official administrators.
L.D.