Ahold credit protection trading on upfront-only basis

Credit protection for Dutch retailer Ahold is now trading on an upfront basis only following the company's admission of accounting irregularities.

On Monday the group disclosed "significant accounting irregularities" in its US operations of more than $500 million. Prior to Monday’s development, credit protection for BBB-rated Ahold was priced at around 200 basis points-mid. Five-year credit default swaps widened by around 500bp to 700/800bp.

S&P downgraded the group two notches to BB+. Moody’s followed suit with a four-notch downgrade of the senior unsecured debt to B1 yesterday.

Credit derivative traders in London said intense activity by

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here