The traditional underpinnings of counterparty credit risk management have come in for unprecedented scrutiny in recent months, as banks, investors and trading partners pick through the post-Enron debris. As well as trying to assess their exposure to the fallen energy giant, stakeholders are trying to ensure that the right lessons are learned – and quickly. Many are asking whether they could have done anything to protect themselves and, given the inaction of the credit rating agencies, whether they can rely on traditional safeguards in the future. In this article, we look at some of the ways in which companies can manage counterparty credit risk.