ISDA European Loan CDS Protocol

  1. Traditional Protocols
  2. ISDA European Loan CDS Protocol

The ISDA European Loan CDS Protocol (the “Protocol”) is a tool to upgrade the Standard Terms Supplement and Confirmation for Credit Derivative Transactions on Leveraged Loans as published on July 30, 2007 (the “July 2007 Supplement”) to the terms of the Revised Standard Terms Supplement and Confirmation for Credit Derivative Transactions on Leveraged Loans published on March 12, 2008 (the “the Revised March 2008 Supplement”).

Adhering to the Protocol will provide that with effect from the Implementation Date each provision in the Documentation relating to each Covered Transaction that incorporates the July 2007 Supplement shall be deleted and replaced with a provision incorporating the Revised March 2008 Supplement.

It should be noted that there is no adherence fee required for ISDA members or non-ISDA members submitting Adherence Letters in connection with the ISDA European Loan CDS Protocol.

The ISDA European Loan CDS Protocol is open to ISDA members and non-members.

THE CUT-OFF DATE FOR ADHERENCE TO THIS PROTOCOL HAS BEEN EXTENDED FROM MAY 15, 2008 TO MAY 22, 2008.

PLEASE NOTE: THIS PROTOCOL IS CLOSED.

The following documents must be submitted via email to the ISDA office in New York in order to adhere to the ISDA European Loan CDS Protocol:

  • One signed copy of the Adherence Letter, providing information on the contact person at the Adhering Party.
  • One conformed copy of the Adherence Letter. A conformed copy is an exact copy of the signed letter with the name of the person signing the letter typed on the signature line. A signature should not appear on the conformed copy of the letter.

ISDA will only accept email delivery of Adherence Letters. An Adhering Party is not required to send original Adherence Letters to the ISDA offices.

Please submit all Adherence Letters
via email to elcdsupdateprotocol@isda.org.
It is critical that both a scanned, signed Adherence Letter, as well as
a scanned, conformed Adherence Letter is submitted. Entities will not
be deemed to have adhered to the Protocol until both the signed and conformed
Adherence Letters are submitted by email in accordance with the Adherence Period.

No other documents are required in order
to adhere to the ISDA European Loan CDS Protocol. Supporting documentation, such
as board resolutions or a list of authorized signatures, can be provided
and will be held in safekeeping by ISDA, but it is not necessary to submit
such documents in order to adhere to the Protocol. Access to supporting
documentation will only be provided if requested in writing.

THE CUT-OFF DATE FOR ADHERENCE TO THIS PROTOCOL
HAS BEEN EXTENDED FROM MAY 15, 2008 TO MAY 22, 2008.

Email address for Delivery of Adherence Letters:
elcdsupdateprotocol@isda.org

Policy Regarding Conformed Copies
A signed copy and a conformed copy of an Adherence
Letter must be received in order for ISDA to list a party as having adhered
to the ISDA European Loan CDS Protocol.

The most common problem experienced in the adherence process
for prior Protocols was the failure to include a conformed copy of the
Adherence Letter. We remind parties that a conformed copy, together
with a signed copy, must be submitted to ISDA in connection with adherence
to the ISDA European Loan CDS Protocol.

ISDA has prepared this brief summary of frequently asked questions to assist in your consideration of the ISDA European Loan CDS Protocol (the "Protocol").

THIS FREQUENTLY ASKED QUESTIONS DOES NOT PURPORT TO BE AND SHOULD NOT BE CONSIDERED A GUIDE TO OR AN EXPLANATION OF ALL RELEVANT ISSUES OR CONSIDERATIONS IN CONNECTION WITH THE PROTOCOL. PARTIES SHOULD CONSULT WITH THEIR LEGAL ADVISERS AND ANY OTHER ADVISER THEY DEEM APPROPRIATE PRIOR TO USING OR ADHERING TO THE PROTOCOL. ISDA ASSUMES NO RESPONSIBILITY FOR ANY USE TO WHICH ANY OF ITS DOCUMENTATION OR OTHER DOCUMENTATION MAY BE PUT.

Adherence Letter Submission Process

When do I need to send in my Adherence Letter?
The ISDA European Loan CDS Protocol is open between 9:00 a.m. New York
Time on Thursday May 1, 2008 and 5:00 p.m. New York Time on May 22, 2008.
THE CUT-OFF DATE FOR ADHERENCE TO THIS PROTOCOL
HAS BEEN EXTENDED FROM MAY 15, 2008 TO MAY 22, 2008. Any entity
must email its Adherence Letter to ISDA by 5:00 p.m. New York Time on
May 22, 2008, or it will not be able to participate in the ISDA European
Loan CDS Protocol.

How do I send in my Adherence Letter?
All Adherence Letters must be delivered by email to elcdsupdateprotocol@isda.org. In the email, you must submit both your conformed and executed copies of the Adherence Letter.
The Adherence Letter(s) should be on your institution’s letterhead. Nothing in the form Adherence Letter available on ISDA's website may be changed with the exception of completing the details of your institutional name, date and signature block.

You are not required to send your original Adherence Letter(s) by mail to ISDA.

What is a conformed copy?
A conformed copy of the Adherence Letter means that the name of the authorized signatory (for example, Patricia Smith) is typed rather than having Patricia Smith’s actual signature on the letter. ISDA only posts on its website the conformed copy of all Adherence Letters.

You must also submit an executed, or signed, copy of the Adherence Letter in addition to the conformed copy of the Adherence Letter. ISDA keeps the executed copy of the Adherence Letter for its files and does not share the executed copy with anyone else.

Who is an authorized signatory?
An authorized signatory to the Adherence Letter is an individual who has the legal authority to bind the adhering institution.

What if I am an investment or asset manager – how do I complete the signature block?
If you are an investment or asset manager and act on behalf of multiple funds, you must indicate the following in the signature block: "Investment/Asset Manager, acting on behalf of the funds and accounts listed in the relevant Master Agreement between it and another Adhering Party". A separate Adherence Letter for each fund or account does not need to be submitted to ISDA. Further, no specific names of clients of the investment/asset manager will be publicly disclosed on the ISDA website in connection with the Protocol.

Can I change the text of the Adherence Letter?
No. The Adherence Letter must be in the same format as the form letter published in the ISDA European Loan CDS Protocol. You may obtain a copy of the form Adherence Letter by visiting the ISDA website, www.isda.org and clicking on "ISDA European Loan CDS Protocol" and then clicking on "Form of Adherence Letter".

Limited Right of Revocation

Can I revoke my participation in ISDA European Loan CDS Protocol?
No.

Does it cost any money to adhere to the Protocol?
No.

View Adhering Parties ISDA European Loan CDS Protocol Text will open in a new tab or window Form of Adherence Letter will open in a new tab or window Summary of Changes from July 2007 Version will open in a new tab or window