Assuming the same reference obligation, should cds par rates quoted in different currencies be equal?I can imagine there may be some sort of small basis adjustment but wouldn't expect a large difference. Also, where a company has debt issued in different ccys, I presume you can't default on your USD debt but not your JPY debt, for example. Any comments appreciated.Jon

QuoteAssuming the same reference obligation, should cds par rates quoted in different currencies be equal?Normally no. However, the markets have not been normal of late. Eg XCCY swaps particularly ones involving USD have blown out. If you want I can send you a paper by Lehman that discusses cross currency credit. PM me your mail and I can send it to you. QuoteAlso, where a company has debt issued in different ccys, I presume you can't default on your USD debt but not your JPY debt, for example. Normally no. There are usually pari passu clauses that stipulates that all bond holders with a given ranking (eg senior, subordinated etc) shall be treated equal. In addition you often find cross default covenants that ensures that if the firm defaults on one bond other bonds can be accelerated also. HTH

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