Auction Sets Price for Quebecor World Bonds
Reuters - February 19, 2008
Sellers of protection on the defaulted debt of Quebecor World Inc. will recover 41.25 percent of the protection sold, following an auction by dealers. The final price of Quebecor World's bonds was based on an auction by 13 dealers, according to administrators Markit and Creditex.
The indicative price earlier came in at 42.125 percent, though there were more sellers than buyers of the debt. Based on the final price, this would mean that the amount of principal The Quebecor bonds recover would be 41.25 percent of par. Thus a buyer of protection would be compensated 58.75 percent the amount of debt insured.
