Ardagh CDS spreads reel amid payout confusion
Dispute over company’s recapitalisation plan leaves credit default swap holders with uncertain future
The cost of purchasing credit protection on European packaging firm Ardagh has whipsawed in recent weeks as the group of banks and buy-side firms tasked with determining credit events debates whether to rule the company’s recapitalisation plan as a restructuring that could lead to payouts on swap contracts.
After announcing that the plan would not trigger credit default swaps in August, the 11
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