Ann: Agreement on revised debt terms, page-13

Yes, but that’s not the whole story, as explained below.

Shaws confirmed a BUY rating on BCB in its report issued yesterday, and commented as follows:

”We have a positive view on coal markets, and Bowen (now) has a clear pathway to positive cash flow. Production should rise to 4-5 Mtpa over the next 2-3 years as the company develops the Ellensfield South and Lenton resources, and there are growth opportunities at Hillalong………Global steel production is continuing to grow in line with global GDP, and is particularly fast growing in the developing world (eg, India).”

And so on. The only significant reason for the reduction in the BCB price target from 32c to 29c was the dilution which will be caused by the issue of new shares to NHC under the terms of the new debt facility agreement announced last week.