Moody’s Investors Service
RH Donnelley LCDSs settle in line with analyst expectations
An auction to cash-settle loan credit default swaps (LCDSs) referencing North Carolina-based commercial search firm RH Donnelley produced a recovery rate of 78.125%. Auctions to cash-settle LCDSs on two of the firm's subsidiaries, Dex Media East and Dex…
Ambac makes $1.539bn derivatives gain
Ambac reported a massive $1.539 billion mark-to-market gain on credit default swaps (CDSs) in the first quarter – an upswing largely due to its own deteriorating financial condition.
Ratings redux
Rating agencies have been lambasted for perceived failings in their collateralised debt obligation (CDO) rating methodologies. The leading agencies have published revised methodologies, but has it swung too much the other way? With the CDO market in the…
NYSID causes first monoline CDS default
An auction is to be held to settle credit derivatives linked to Syncora, the monoline formerly known as XL Capital Assurance, after a committee declared a credit event to have occurred on the firm on May 1.
EU parliament and Council approve rating agency regulation
Daily news headlines
EU presses ahead with tougher regulation of rating agencies
The European Parliament today voted in favour of a new regulation that will force credit rating agencies (CRAs) to comply with minimum standards of good practice and transparency.
Banks suffer from stricter ratings criteria
Banks may be the latest victims of a continuing drive by rating agencies to impose harsher tests on highly-rated structured finance products, analysts said.
Moody's: FGIC unable to meet payments
Moody's has warned that monoline insurer FGIC might not be able to meet its payments on the subprime-linked assets it has insured.
Moody's warns of "severe default cycle"
Weak consumer spending in the US means 283 companies are now at high risk of default, credit rating agency Moody's Investors Service has warned.
Japanese CDO market shrinks in 2008, says Moody's
The collateralised debt obligation (CDO) market in Japan last year contracted by 12% to about ¥1 trillion ($10.2 billion) in terms of deals rated by Moody's Investors Service.
US to restructure AIG bailout after $61.7 billion Q4 loss
Marking the largest corporate quarterly loss in US history, today AIG reported that it lost $61.7 billion in the fourth quarter of 2008. It blamed disruption in the credit markets, particularly within its commercial mortgage-backed securities (CMBS)…
Fiscal strain poses challenges for monolines
Continuing fiscal strain has heightened concerns over the fate of the new municipal monoline bond insurers.
Equity market turmoil hits Cedo deals
New York-based Moody’s Investors Service downgraded a swath of collateralised equity and debt obligation (Cedo) notes on October 10, as a result of the recent volatility in global stocks.
CPDOs under review as Moody’s announces further error
New York-based ratings agency Moody’s Investor Services announced on September 4 it might downgrade several constant proportion debt obligations (CPDOs) after discovering another error in its securities monitoring.
Iosco says regulators should monitor and inspect rating agencies
The International Organisation of Securities Commissions (Iosco) has recommended regulators monitor and inspect rating agencies to check whether they are following its code of conduct.
Moody's shakes up structured finance team as CPDO scandal grows
The head of structured finance at New York-based rating agency Moody's is leaving after the firm announced disciplinary proceedings over mis-rating of European constant proportion debt obligations (CPDOs).
Iosco stiffens code of conduct for rating agencies
The Madrid-based International Organisation of Securities Commissions (Iosco) has issued a report tightening its voluntary code of conduct for rating agencies.
Moody’s: South African securitisation at turning point
South African securitisations are deteriorating but their ratings remain secure for now, according to New York-based Moody’s Investors Service.
Moody's names Polanski to oversee troubled structured finance business
Moody's Investors Service has named Jonathan Polansky as its first global structured finance surveillance co-ordinator.
Downgrades not the end of CPDO market
The last few months have seen massive downgrades of constant proportion debt obligations (CPDOs), but the worst could be over for the sector.
Moody’s bids to improve RMBS process
As the US subprime mortgage crisis shows little signs of relenting and few new securitisations are coming to market, the process of identifying what went wrong and how future calamities might be prevented has commenced.