CDS Panel Triggers Payout on $77 Million of Diamond Sports Swaps

Diamond Sports Group LLC’s Chapter 11 bankruptcy last week will trigger payouts on a net $77 million of the company’s credit default swaps after the the filing was ruled a credit event.

• The Americas Credit Derivatives Committee unanimously voted Tuesday that the filing triggered the contracts and an auction should be held to settle them
• There was $77.3 million of net notional outstanding on Diamond Sports as of March 10, according to the Depository Trust & Clearing Corporation
• Diamond is the largest owner of local sports channels in the US and operates under the Bally Sports brand

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