On May 16 2022, the administrator of the Canadian Dollar Offered Rate (CDOR), Refinitiv Benchmark Services (UK) Limited (RBSL), announced that it will cease the calculation and publication of all tenors of CDOR on June 28, 2024.
This decision aligns with the recommendation made by the Canadian Alternative Reference Rate (CARR) Working Group in December 2021 and follows a broad public consultation from RBSL regarding that recommendation. CARR welcomed this announcement in its recent Market Notice.
What are the implications for you
You may be a party to a loan agreement or an instrument which references CDOR where we are acting as sole lender, Administrative Agent of a syndicated facility or counterparty. If that loan agreement or instrument requires notice of these announcements, then this letter constitutes such notice.
This does not mean that any contractual rates are changing as of the date of this notice or will necessarily change on the date set forth above. Any relevant rate changes will be the subject of a future communication.
If you are party to a loan agreement or an instrument which references CDOR, please take notice that the option to select CDOR as a rate will no longer be available after the relevant date set forth above.
We encourage you to reach out to a professional for legal and accounting advice on the impact of replacing CDOR on all your financial agreements, activities and financial statements.
Here are some links if you'd like more information on the subject: