Elpida Bonds Get Initial Value of 20.125% in Swaps Auction
Sellers of credit-default swaps on Elpida Memory Inc. (6665)’s bonds may have to pay 79.875 percent of the notes’ face value to settle contracts triggered by the chipmaker’s bankruptcy filing.
Dealers set an initial value of 20.125 percent at an auction for Elpida bonds today, according to administrators Markit Group Ltd. and Creditex Group Inc. The auction is being held under the rules of the International Swaps & Derivatives Association and a final rate will be determined at 2 p.m. in Tokyo.
To contact the reporter on this story: Yusuke Miyazawa in Tokyo at email@example.com
To contact the editor responsible for this story: Shelley Smith at firstname.lastname@example.org