TriOptima's triReduce® Credit Incorporates Markit's RED Data

London, 7 February 2005 - TriOptima, the only provider of multilateral termination services for OTC derivatives, today announced that Markit's reference entity database (RED) has been incorporated into the triReduce® Credit service. Markit RED provides the industry standard reference entity names, reference obligations and codes used throughout the credit default swap markets.

Adding this data to the triReduce® Credit service greatly simplifies the identification of reference entities and reference obligations for subscribers by offering precise identifiers for the thousands of underlying company names and bond deliverables referenced by credit derivatives.

Henrik Nilsson, TriOptima's Head of Business Development said: "Correctly linking counterparties' records of each trade is the first, essential step in the multilateral termination process. Markit has set the standard for the industry with its reference entity database. Our mutual subscribers will now benefit from increased efficiency by mapping to the RED data seamlessly within the triReduce® website."

Brian Meese, TriOptima's CEO, said: "Markit's RED data is being adopted in the credit derivatives market very quickly. This cooperation is a natural step in our continual efforts to improve and expand the operational benefits of the triReduce® service for subscribers."

Penny Davenport, Director, Markit RED said: "We strive to make RED as accessible as possible for our subscribers by working with all the major service providers in the credit markets. TriOptima are providing a valued service and by working with them our mutual subscribers will benefit from further improvements in legal risk and increased operational efficiency."

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Notes to editors

About Markit

Markit is the leading industry source for asset valuation data and services supporting independent price verification and risk management in global financial and energy markets. Founded in 2001, the company is an independent enterprise with which the world's leading financial institutions and energy traders work strategically to create price transparency. Today, Markit enjoys the sponsorship of 13 financial institutions who manage assets in excess of $10 trillion, and data contribution relationships with over 45 dealing firms. Markit has designed, launched and acquired over 20 financial data services which are now used by over 300 institutions globally. Areas of product expertise and service include an independent valuation perspective on credit default swaps, syndicated loans and OTC derivatives (credit, equity, FX, rates, energy, power, metals and structured products), as well as dividend forecasting and index and ETF management.

About TriOptima

TriOptima AB is pioneering new technology that eliminates risk and cuts operational and capital costs through mass multilateral termination of OTC derivative contracts. By eliminating unnecessary trades that inflate the balance sheet and create operational hazards, the triReduce service improves a firm's risk adjusted return on capital and enables healthy future growth of the market.

TriOptima, a Swedish company introduced, triReduce, its early termination service for interest rate swaps in 2003. Since then, over 100,000 interest rate swap contracts in CAD, CHF, EUR, GBP, HKD, JPY, SGD, and USD with a notional principal outstanding of over $7 trillion and a gross mark-to-market value of $423 billion have been terminated for over 50 of the world's largest financial institutions in over 110 locations worldwide.

 

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