BHP rating downgrade coming: Commonwealth Bank

09 October 2015

 

Last month BHP announced its intention to issue multi-currency hybrid capital securities after holding a series of investor briefings. The design of the hybrids would allow them to be classified as part equity, thus keeping BHP’s balance sheet in shape and maintaining its A+ credit rating. Earlier in the year ratings agencies had put BHP’s and Rio’s debt on a “credit outlook negative” watch and now Commonwealth Bank thinks that outlook...

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