ISDA®
INTERNATIONAL SWAPS AND
DERIVATIVES ASSOCIATION
NEWS RELEASE
For
Immediate Release Friday, December 20, 2002 For More Information, Please Contact: Stacy Carey, ISDA New York, (212) 901-6000;
Fax (212) 901-6001; scarey@isda.org ISDA, EMTA AND FOREIGN
EXCHANGE COMMITTEE ANNOUNCE NEW AND AMENDED ARGENTINE PESO RATE SOURCE
DEFINITIONS NEW YORK, Friday, December 20, 2002 - The International Swaps and Derivatives
Association (ISDA), EMTA and the Foreign Exchange Committee today jointly
announced amendments to Annex A of the 1998 FX and Currency Option
Definitions to (i) revise the definition for the CME/EMTA ARS Industry
Survey Rate, (ii) add the EMTA ARS Indicative Survey Rate as a new
rate source definition, and (iii) delete from Annex A the definition of the ARS
Official Rate (“ARS02”). Accordingly, effective as of January 2, 2003,
Section 4.5(c)(i) of Annex A will be amended to delete Section 4.5(c)(i)(B)
in its entirety and to replace the provisions of Sections 4.5(c) (i) (C) and
(D) with the following: (C) “EMTA ARS INDUSTRY SURVEY
RATE” or “ARS03” each means that the Spot Rate for a Rate Calculation Date
will be the Argentine Peso/U.S. Dollar Specified Rate for U.S. Dollars,
expressed as the amount of Argentine Pesos per one U.S. Dollar, for
settlement on the same day, as published on EMTA’s web site (www.emta.org) at approximately 1:00 p.m.
(Buenos Aires time), or as soon thereafter as practicable, on such Rate
Calculation Date. The Spot Rate shall
be calculated by EMTA (or a service provider EMTA may select in its sole
discretion) pursuant to the EMTA ARS Industry Survey Methodology (which means
a methodology, dated as of January 2, 2003, as amended from time to time, for
a centralized industry-wide survey of financial institutions in Buenos Aires
that are active participants in the Argentine Peso/U.S. Dollar spot markets
for the purpose of determining the EMTA ARS Industry Survey Rate). (D) “EMTA ARS INDICATIVE
SURVEY RATE” or “ARS04” each means that the Spot Rate for a Rate Calculation
Date will be the Argentine Peso/U.S. Dollar Specified Rate for U.S. Dollars,
expressed as the amount of Argentine Pesos per one U.S. Dollar, for
settlement on the same day, as published on EMTA’s web site (www.emta.org) at approximately 1:00 p.m.
(Buenos Aires time), or as soon thereafter as practicable, on such Rate
Calculation Date. The Spot Rate shall
be calculated by EMTA (or a service provider EMTA may select in its sole discretion)
pursuant to the EMTA ARS Indicative Survey Methodology (which means a
methodology, dated as of January 2, 2003, as amended from time to time, for a centralized industry-wide
survey of financial institutions that are active participants in the Argentine
Peso/U.S. Dollar markets for the purpose of determining the EMTA ARS
Indicative Survey Rate). Practitioner’s Notes:
ISDA is the global trade association representing
leading participants in the privately negotiated derivatives industry. ISDA
was chartered in 1985, and today has more than 600 member institutions from
46 countries on six continents. These members include most of the world's
major institutions that deal in privately negotiated derivatives, as well as
many of the businesses, governmental entities and other end users that rely
on over-the-counter derivatives to manage efficiently the financial market
risks inherent in their core economic activities. Information about ISDA and
its activities is available on the Association's web site: www.isda.org. ### |