On February 9, 2015, ISDA's® Americas Credit Derivatives Determinations Committee (DC) made the following credit event determinations for credit default swaps (CDS) involving the following reference entities:

ISDA implemented Credit Determinations Committees in 2009 as part of its response to CDS issues that arose during the financial crisis (see Practice Note, Credit Derivatives: Overview (US): ISDA's Big Bang: CDS Determinations Committees). ISDA's DCs are responsible for applying the terms of market-standard credit derivatives contracts to the circumstances of specific events to determine if a credit event has taken place, including when a credit event has occurred with respect to a reference entity specified in a CDS contract. If a credit event is determined to have taken place, the applicable DC is also responsible for deciding whether an auction should be held.

The Americas DC resolved that Ceasers Entertainment Operating Company did not fail to pay on its debt obligation (the reference obligation) in December 2014, and therefore a failure to pay credit event did not occur at that time. However, upon entering bankruptcy, a bankruptcy credit event did occur for Ceasers Entertainment Operating Company on January 15, 2015.

Additionally, the Americas DC resolved that a bankruptcy credit event occurred with respect of RadioShack Corporation when it entered bankruptcy.

Auctions for both sets of outstanding CDS transactions will be held and more information can be found on the ISDA website.