RadioShack Corporation (NYSE:RSH) could be found in default on its loan obligations, triggering credit default swaps obligations that could cost those who insure the risky derivatives $584 million. ISDA to determine RadioShack’s outstanding swaps The International Swaps & Derivatives Association, the ruling body on the matter, is set to determine if RadioShack Corporation could rule on $25.5 billion of outstanding swaps contracts after the retailer may have experienced a credit event that would technically throw it into default status. Even if ISDA ruled on the retailer was in default, the payout would amount to $584 million in actual claims after overlapping…
ISDA To Rule On RadioShack Corporation (RSH) CDS
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.