CDS Panel Triggers Payout on $523 Million of Hertz Credit Swaps

Hertz Global Holdings Inc.’s Chapter 11 filing on Friday will trigger payouts on a net $523.3 million of credit default swaps after the bankruptcy was ruled a credit event.

• The Americas Credit Derivatives Determinations Committee voted unanimously on Tuesday to trigger the contracts and said an auction should be held to settle them, according to a statement on the panel’s website
• There was $523.3 million of net notional outstanding on Hertz as of April 17, according to the International Swaps & Derivatives Association
• READ MORE: O.J., Accounting Fraud, Icahn: The Story of Hertz Going Bust

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