Pres. Obama Signs Bill Enacting Significant Amendments to Swaps Push-Out Requirements

On December 16, 2014, President Obama signed the Consolidated and Further Continuing Appropriations Act, 2015 (the “Act”) into law. The Act effects two significant amendments to the “swaps push-out” provision enacted as Section 716 of the Dodd-Frank Act. These amendments:

• Codify the eligibility of U.S. branches and agencies of foreign banks for the exception to the Federal assistance prohibition available only to “insured depository institutions” (“IDIs”) under the original provision.
• Limit the push-out requirement for qualifying “covered depository institutions” to certain “structured finance swaps” that are not entered into for hedging or risk management purposes.

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