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Article: JAPAN BANK AOZORA CAN'T CASH IN CREDIT DEFAULT SWAPS ON AIFUL LOANS.
- Article from:
- AsiaPulse News
- Article date:
- October 7, 2009
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TOKYO, Oct 7 Asia Pulse - Aiful Corp.'s (TSE:8515) rehabilitation under a privately mediated debt workout plan does not qualify for payment of credit default swaps taken out against claims to the Japanese finance company, according to the International Swaps and Derivatives Association (ISDA).
As a result, Aiful creditors holding credit default swaps to hedge against its default will not be able to recover their claims through these derivatives.
The ISDA's ruling comes in response to an inquiry by Aozora Bank (TSE:8304), which held ...