ABCP Woes: Coventree Shutting Down

With regards to the troubled $33B in frozen Canadian ABCP, Coventree lost a competition to administer the restructured non-bank asset backed commercial paper in Canada, and will likely have to wind up its operations as a result.

Coventree says its revenues are no longer expected to cover expenses, and its administration business is no longer viable: "the range of options that remain under consideration are limited and will likely involve, among other things, the orderly windup of the company's operations pending implementation of the restructuring plan".

Coventree (COF.to) was trading at $0.86 Friday.