Swap.Excellent summation of the current situation with Centrom, but just one question.
You state that 'As the company themselves said in the presentation on the 17th December, if they have to source lending at higher rates, a 100bp increase in Australian lending rates and 120bp increase in US lending rates, will only have a 2.7c per share impact on distributions. An additional 100bp on $3.9bn of debt would mean a lender with the right appetite would make an additional $39m in interest charges per year above their current rate.'
In the light of the recent downturn in official interest rates in the USA, (as distinct from the situationn in OZ)? Will Centro still be charged with higher lending rates of 120bp on their USA borrowings,
CNP Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
