Rates Round Up

Blue Star Print Group suspends bond repayments
Blue Star Print Group has suspended its bond repayments after reaching an agreement with its senior lenders to reset its banking covenants and boost its balance sheet by $10 million.

Interest repayments of 9.1% due on Sept. 15 will accrue interest, so bondholders will receive a 13.1% return, but the company has yet to announce when payments will resume.

The company reported a 31% slump in underlying profit to $35.2 million, which excludes one-off items, tax, depreciation, amortisation and restructuring. It recorded an $11.6 million operating loss, compared to a $17 million profit a year earlier, but had some $71.2 million of debt forgiven.

Deposit rates continue tussle in longer term space
The deposit rate war continued its tussle among longer terms today, with Asset Finance, PSIS and HSBC lifting their three- and four-year offers.