The value of an asset swap spread which makes the net present value of all of the cash flows generated by the underlying asset (a bond, floater, etc) equal to par (i.e., the upfront price of the asset swap). In order to compute the breakeven asset swap spread, the net present value of all cash flows is set equal to zero. For discounting, the LIBOR curve (or any other relevant, floating rate curve) is often used, implying that the counterparties to the swap have the same credit quality as AA-rated bank counterparties.