By Richard Knight
Summary: This article explains the purpose and functionality of these less often used transaction fields
This field is used in Power and Commodity toolset transactions when amendments are made. It allows users to amend transactions while preserving volumes in those deals. When a user amends a Power or Commodity toolset transaction, the Regen Date is essentially the effective date for the amendment. Although it defaults to the current System date, it can also be set for both a historic or future date.
The use of a Regen Date may best be illustrated through the use of an example. Let us suppose that the user enters a transaction from January 1, 2014 through Dec. 31, 2014 for a 5×16 power product at 100 megawatts @ $50 per megawatt. Now, August 3, 2014 rolls around and the user gets the deal amended to only 80 megawatts @ 45 per megawatt. The user creates an amendment and uses August 1 as the Regen date. Endur will regenerate the deal to be 100 megawatts from January 1 through July 31 @ $50 and 80 megawatts from August 1 through December 31 @ $45.
The user can set a Regen Date from January 1 through August 2 to recalculate historical data, or can set a regen date from August 4 through December 31 to set a future date on which the amendment will take effect. In addition, the user has the ability to change the Regen Date to see how different dates will affect the entire deal. The user can enter any date within the dates set within the original deal without changing the database. The database will only be changed once the user has processed this deal as “Amended New.”
A Cut-off Date is used in Power and Commodity toolset transactions in which “Best Available Volume (BAV)” is defined. It determines when a “BAV Hierarchy” will be in effect for the deal. The cut-off date determines the date on which the BAV hierarchy will NO LONGER be used.
If it is set to “MIN,” the hierarchy will not be used at all during the deal, and all volumes will only be calculated from “Trading.”
If the Cutoff Date is set to MAX,” the BAV hierarchy will be in effect for the entire deal.
If a specific date is set, the date indicated will be the FIRST date on which the BAV hierarchy will NO LONGER be in effect. All volumes will be calculated only from “Trading” from the cut-off date through the end date of the deal.