LONDON, March 8, 2013 – The International Swaps and Derivatives Association, Inc. (ISDA) today announced the launch of EMIR-Representation Protocol (NFC) of EMIR in March 2013 and an agreement on a timely confirmation change. “EMIR imposes a number of new regulatory obligations on players in the OTC derivatives market,” said Robert Pickel, Director General of ISDA. “As we begin to implement EMIR, the March 2013 ISDA-NFC Representation Protocol and the Timely Confirmation Amendment Agreement are the first in a series of instruments that ISDA intends to make available to market participants to facilitate their compliance with emir Regulation.” The International Swaps and Derivatives Association, Inc. (ISDA) issued its EMIR Representation Protocol (NFC) in March 2013 and an agreement to change the confirmation period. The March 2013 ISDA-NFC Representation Protocol is expected to allow swap participants to simultaneously amend several key ISDA contracts to facilitate compliance with certain requirements of Regulation (EU) 648/2012 for OTC derivatives, central counterparties and central repositories (EMIR) and technical regulatory standards adopted under this Regulation. The documents are accompanied by a list of the parties on the minutes, the FAQs on the minutes, the explanatory note to be confirmed in due course. Prior to publication, ISDA released a draft amending agreement to assist counterparties in ISDA management agreements to comply with the technical standards of the EMIR Risk Mitigation Techniques Regulation (the “RISK Reduction STRATEGY”), which aims to issue timely confirmations of unauthorized OTC derivatives. The agreement on amending the proposal is a very useful document that focuses on the issues that counterparties must consider in this area. It allows the parties to specify responsibilities for establishing and agreeing confirmations, facilitates positive and negative confirmations, and proposes alternative formulas depending on whether the violations must be late events, termination events or other consequences. For media inquiries, please contact: Rebecca O`Neill, ISDA London, `44 203 088 3586, email@example.com Lauren Dobbs, ISDA New York, `1 212 901 6019, firstname.lastname@example.org Donna Chan, ISDA Hong Kong, `852 2200 5906, email@example.com The protocol will be open until ISDA sets a deadline.
Compliance with certain requirements of the EMIR Regulation, for which the protocol may be relevant, is required by March 15, 2013. The MARCH 2013 ISDA-NFC representation protocol should enable swap market participants to simultaneously amend several ISDA management agreements to facilitate compliance with certain requirements of the European Parliament and Council 4 July 2012 on OVER-the-counter derivatives, Central Counterparties and Central References (EMIR) and regulatory standards adopted under the EMIR Regulation. The agreement on the modification of confirmation in a timely manner is a form of agreement that market participants can use as part of their toolkit to comply with EMIR`s obligation to confirm in a timely manner the terms of an unsettled over-the-counter derivative contract. ISDA publishes EMIR Non-Financial Consideration Representative Minutes and Confirmation in Timely Amendment Agreement The protocol is open to ISDA members and non-members. The text of the minutes and a link for compliance with the protocol as well as instructions on the mechanics of the protocol, answers to frequently asked questions and details of the whistleblowers are available on the ISDA website on protocol management.