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  • Roger Liddell, ceo of LCH.Clearnet, warned the House of Lords European Union Sub-Committee on Derivatives this morning that clearing houses may need access to central banks funds if they blow through member capital and guaranty pool money.
  • American International Group has hired industry veteran, Peter Hancock, the former head of derivatives at JPMorgan, to oversee finance, risk, audit, investments and strategic planning. He will also head up AIG Financial Products in Wilton, Conn.
  • The majority of Economic and Monetary Affairs Committee members at the European Parliament and officials at the Internal Market and Consumer Protection Committee, are supporting Michel Barnier as the European Commissioner for Internal Market & Services.
  • Players trading derivatives claims against the Lehman Brothers estate have come up with a variety of structures to tackle how the bankruptcy court will value the contracts.
  • The Chicago Board of Education has settled its dispute with Lehman Brothers over whether it has to make payments on an open interest-rate swap by netting amounts owed and switching the swap counterparty to Goldman Sachs.
  • Some U.K. financial institutions are considering paying cash bonuses into offshore trusts set up for employees to get around the newly imposed 50% tax on bonuses over GBP25,000 (USD39,465).