FMG Resources (August 2006) Pty Ltd is a wholly owned subsidiary of Fortescue Metals Group Ltd. Fortescue Metals Group Ltd (FMG) is an ASX listed iron ore production and exploration company based in Perth with a market capitalisation of AUD12.9bn as at 12 December 2018.

With the global growth outlook for 2019 looking subdued, there is an increasing possibility the credit cycle is nearing an end. The cause and timing is uncertain, but investors should consider the ability of companies to refinance their outstanding debt as it comes closer to maturity.

We initiate recommendations on a range of notes supporting Australian PPP projects.

Mallinckrodt Plc (MNK) has announced it will spin off its speciality generics business to shareholders in 2019. The company previously announced its intention to divest the generics business and has been reporting it as discontinued operations. The separation will be completed through a pro-rata distribution of common stock to shareholders.

Despite strong economic growth during the year, 2018 proved to be a year of growing uncertainties leaving the outlook for the year ahead highly uncertain.

Westpac’s USD denominated, investment grade Tier 2 bond is the newest addition to our USD DirectBond offering. This bond is fixed rate and available in USD10,000 minimums. It would appeal to clients wanting to improve credit quality of their USD investments.

Westpac Banking Corporation (Westpac) is one of the four major banks in Australia in terms of market capitalisation and customers. Westpac is one of the top five companies on the ASX by market capitalisation (AUD95.3bn as at 9 November 2018).

On 4 December 2018, Moody’s Investors Service downgraded to B3 the debt ratings on the senior unsecured guaranteed bonds of Talen Energy Supply LLC

Higher rated notes of RMBS transactions remain attractive investments. Here we look at the relative value of these securities and consider the factors influencing property prices.

Dell International L.L.C and EMC Corp are intermediary holding companies ultimately controlled by Dell Technologies and are the joint issuers of the USD4.5bn 2026 notes.

Dell International L.L.C and EMC Corp are intermediary holding companies ultimately controlled by Dell Technologies and are the joint issuers of the USD4.5bn 2026 notes.

We revise our credit outlook on AAT and reiterate our recommendation on its 7.50% notes due 2020

Updates to the DirectBond Filter Lists - November 2018

The DirectBond filter lists have been updated for November 2018

Moody’s stated that the downgrade reflects Rackspace's weak revenue and margin trends, intense competitive pressure and Moody's expectation that leverage will decline but remain above 4.5x for the next two years. The outlook remains negative.

On 29 November 2018, Axsesstoday provided a progress update to the ASX. It also issued a revised version of its financial statements for the year ended Jun 30, 2018 (FY18)

Bendigo and Adelaide Bank Ltd (Bendigo) is a regional bank that specialises in retail banking with a focus on rural communities. Bendigo is a top 60 ASX listed company with assets under management of more than AUD71.4bn (30 June 2018).

Bendigo & Adelaide’s (BEN) new 2023 call Tier 2 floating rate note (FRN) was oversubscribed at issuance, and will have ongoing demand in the secondary market. The note is available at a margin above 3mBBSW+1.90%, offering a more attractive return compared to older issues.

Sprint has further upside with the T-Mobile merger looking more likely, and the downside limited by strong operations and other potential buyers of the company. Its recent price movement lower presents a more attractive entry point for investors.

Zenith Energy, heardquartered in Perth, specialises in the provision of remote power generation solutions to the resources and energy sectors. Zenith’s customers are typically located in remote areas not connected to the electricity grid, requiring the installation and operation of stand-alone power generation.