Primus Liquidators Update

 Nov 1, 2017

The Liquidator is still in the process of closing the sale of the CLO note. (See PDF below providing brief background on the sale of the CLO). Whilst the Liquidator has performed the requisite onboarding process on the CLO purchaser, the Liquidator had to comply with the purchasers extensive onboarding process, which attributed to the delay in moving the sale forward. The Liquidator will continue to work with the purchaser to progress the sale further and eventually close the same hopefully within this month.

The remaining company inventory in the storage facility in New York, on the other hand, has been deemed to have nominal value and that it would cost the Company more to sell the items than the value that may be recovered from them. The Liquidator is working to have the inventory items securely discarded. Books and records of the Company retrieved onsite, however, will need to be maintained for a specified period pursuant to Bermuda law.

The Liquidator estimates that the revised timeline for closing the CLO purchase will likely be on or before the end of November. The Liquidator estimates that he will be in a position to call for the final meeting of shareholders between December this year and early January next year, and to make the final distribution to shareholders by the middle of January after statutory requirements, subsequent to the final meeting, are met.

2016 Consolidated (Unaudited) Financials

 July 28, 2017

The Liquidator confirms that the second and final distribution from the CDS Class Action Settlement has been received last 21 July 2017, which totaled to about $17,000. Regarding the sale of the CLO note, the Liquidator has since found another interested purchaser and is now finalizing the documents for the sale and transfer of the CLO note investment to the purchaser of the note security. As the CLO note is a US restricted subordinated note and as the transfer would also involve the CLO trustee, the Liquidator estimates that it may take about 3 weeks to be able to fully close the sale and finalise the transfer. The Liquidator is also arranging to dispose of inventory (mostly office-related) remaining at a storage facility in New York. Once the transfer is complete and the inventory has been sorted out, the Liquidator will then immediately move to dissolve the two Primus subsidiaries at the same time in the states of Delaware and New York, and then call for a final general meeting for Primus Guaranty Ltd., which the Liquidator anticipates will be held in October. Based on the above, the Liquidator estimates that the final distribution to shareholders will likely be made sometime between the end of October and early November.

[Note: The Liquidator’s latest unaudited financials for 2016 can be found in the Financial Reporting section. As they are unaudited, the financials may not conform with GAAP requirements.]

Primus Liquidators Update

 May 18, 2017

Contingent upon the following, the Liquidator estimates that the issuance of a final distribution and the dissolution of Primus Guaranty, Ltd. (PGL) will be by end of September. Currently, matters pending in PGL’s liquidation are as follows— (a) Regarding the CDS Antitrust Settlement matter, the award payments of $106,798.10 and $124,893.46 have been received since the 9 January press release. The Settlement’s website indicates, however, that the possibility of a second payout may occur in the second quarter of 2017, which the Liquidator reckons could be by end of June. (b) The Liquidator and his team are still working to dispose of Primus Asset Management’s (PAM) position on its CLO investment. Unfortunately, after several exchanges of correspondence, the entity who initially had indicated interest in purchasing the investment did not come through with a formal offer. Since that time, the Liquidator and his team have been coordinating with the manager of the CLO to find another qualified institutional buyer (QIB) and/or to explore the possibility if the CLO would itself be willing to purchase PAM’s position. The Liquidator is aiming to have the CLO investment disposed of by the time the second payout from the CDS Settlement is released, which is anticipated to be by the end of June as mentioned. (c) Should the above materialize, the Liquidator could thereafter commence the dissolution of PGL’s subs (i.e., PAM and Primus Financial Products LLP) in July in the States of New York and Delaware, wherein each will entail final tax reporting with the IRS. Subject to both of the States’ statutory processes and timelines re the entities’ dissolution, the Liquidator estimates a final distribution to shareholders by end of September.


 April 11, 2017

Primus Guaranty, Ltd. has posted the 2016 PFIC tax statement to its web site. The statement can be found under the "Tax" tab.


Update January 9th 2017

 Jan 9, 2017

The Liquidator of Primus Guaranty, Ltd. (the “Company”) has received notice dated December 29, 2016 from the Administrator of the Credit Default Swaps (CDS) Antitrust Settlement (the “Settlement”) that the Company’s subsidiaries, Primus Financial Products LLC and PFP Eagle LLC (the “Subsidiaries”), have been awarded pro rata payments from the Settlement in the amounts of $106,798.10 and $124,893.46, respectively, pursuant to the Plan of Distribution In Re Credit Default Swaps Antitrust Litigation Settlements (Case No. 13-MD-2476-DLC) which was approved by the United States District Court for the Southern District of New York on April 18, 2016. Whilst the Administrator disclosed that payments were made to all eligible Class Members on December 28, 2016, the funds are yet to be received as of the date of this press release. The payments are approximately 10.21% of each of Primus Financial Products LLC and PFP Eagle LLC’s claims.

Based on information from the Settlement’s website at, the total amount for this distribution was $1.48-billion and that a portion of the funds was set aside as a reserve to cover Class Member appeals in the challenge process; the amount of the reserve was $120-million plus interest earned on the Settlement funds. The notice disclosed that the Subsidiaries will be entitled to a payment from such reserve, which will likely be made in the second quarter of 2017, if funds are available after all remaining appeals are resolved. If the entire $120-million will be distributed, the Liquidator anticipates that the second and final distribution to the Subsidiaries will be no more than approximately $18,000 in total. The Liquidator will continue to coordinate with the Administrator of the Settlement regarding the impending receipt of the award payments as well as its prospects of a second and final distribution.


 March 31, 2016

Primus Guaranty, Ltd. has posted the 2015 PFIC tax statement to its web site. The statement can be found under the "Tax" tab.