Eircom in default, warns swaps body

Eircom is technically in default, triggering the payment of credit-default swaps, according to the International Swaps and Derivatives Association.

Credit-default swaps on Eircom Group Ltd’s parent, ERC Ireland Finance Ltd, will be settled after the association said there has been a failure-to-pay credit event.

The International Swaps and Derivatives Asso-ciation’s determinations committee ruled that an auction will be held “in respect to outstanding credit-default swaps transactions”, it said in a statement.