The Alternative Reference Rates Committee ("ARRC") provided updates regarding recent progress on the transition from U.S. dollar ("USD") LIBOR, as well as on the consultation for fallback contract language. The ARRC also reminded market participants of the upcoming November 8, 2018 deadline for feedback on the consultations for floating rate notes ("FRNs") and U.S. syndicated loans.
In addition, the ARRC produced (i) a set of FAQs related to the recent consultation on USD LIBOR fallback contract language for FRNs and (ii) a timeline of key milestones, which includes implementing the ARRC's Paced Transition Plan. As previously covered, the ARRC's Paced Transition Plan is a six-step plan for developing a liquid derivatives market referencing the secured overnight financing rate, which then would form the basis for a forward-looking term rate that could be used in cash products.
Cadwalader, Wickersham & Taft LLP represented the ARRC in the development of the consultations.
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