LONDON A European committee that reviews disputes in the credit default swaps (CDS) market said on Monday that a bankruptcy credit event has not occurred in relation to Casino Guichard Perruchon, dashing investor hopes for a payout on the company's CDS.
The EMEA Credit Derivatives Determination Committee (CDDC) met on Friday to discuss the question raised by an investor, it said on its website.
The French retailer had announced on May 26 it entered court-backed talks with creditors after receiving consent from them to open the court process without triggering an event of default under the terms of its debt.
A number of circumstances can constitute a credit event, which can trigger a payout on CDS which insure against losses from exposure to corporate or sovereign debt.
There were $428 million of net notional Casino CDS outstanding as of May 19, according to DTCC data.
(Reporting by Chiara Elisei, editing by Dhara Ranasinghe)
