Energy and manufacturing companies won delays in Dodd-FrankAct requirements to report derivatives trades they use to hedgebusiness risks. The so-called end users, who trade as clients ofbanks including JPMorgan Chase & Co. and Citigroup Inc., needthe delay to test data systems, the Commodity Futures TradingCommission said in a pressrelease yesterday. The rules were to take effect today.

Users of interest-rate and credit swaps will have until July 1to comply with the reporting rule, according to the CFTC statement.The deadline for users of equity, foreign exchange and othercommodity swaps was extended until Aug. 19. Non-financialcounterparties gained an extension to Oct. 31 for certain reportingrequirements for all swap asset classes.

“I am troubled by the arbitrary and ad-hoc manner in which thisrelief was provided,” CFTC Commissioner Scott O'Malia, aRepublican, said in a statement. “The application of date, product and participantdistinctions makes compliance and implementation confusing for theend users.”

The CFTC and Securities and Exchange Commission are implementingderivatives provisions of Dodd-Frank, the 2010 regulatory overhaul,after largely unsupervised trades helped fuel the 2008 creditcrisis. New rules planned for the $639 trillion global swaps marketrequire that trade information be reported to so-called swap datarepositories that function as central record-keepers.

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