Iron Ore Price, page-18098

Access to credit is beneficial, long term debt exceeding 10-15 percent is never beneficial. Ultimately the aim should always be debt free - why because the company is a slave no no one and an asset is fully owned by the company. Yes debt is extremely beneficial in a bull market as in essence one is growing using another's money and portion of the interest repayment will be offset based on the tax rate. However we are in uncertain times worldwide in regards to geo politics and the saying make hay while the sun shines makes sense I.e reduce as much debt and de risk the company further. A share buyback should be the last on the agenda, however it is still one that should be considered once fortescue reduces the debt further and keeps it's war chest open for any diversification opportunities. A dividend increase would be good in line with company progress but I would not have a temporary hike as the effect on the sp is shortterm. Having it linked to profits and growth is far better imo.
If we use funds to pay down debt, it does 2 things - the obvious reduction in interest liability and less financial risk. It also still enables keep room for debt to be increased again if money is required for major projects or acquisitions. This would further improve credit rating and who knows where the sp will be.