The Alternative Reference Rates Committee ("ARRC") released supplemental versions of recommended hardwired fallback language for USD LIBOR-denominated syndicated business loans and bilateral business loans (see related coverage here and here, respectively).
The supplemental versions simplify the prior versions of the fallback language and incorporate more clarity regarding the dates for USD LIBOR's cessation that were announced on March 5, 2021, as well as the economic values of the ARRC's recommended spread adjustments that were fixed as of the same date (see prior coverage). The ARRC clarified that the abridged 2021 fallback language can be used in lieu of the original 2020 fallback language.
Primary Sources
- ARRC Press Release: ARRC Releases Supplemental Recommendation of Hardwired Fallback Language for Business Loans
- ARRC Supplemental Recommendations of Hardwired Fallback Language for LIBOR Syndicated and Bilateral Business Loans
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