Higher margins

Dear Mr. Rickard,

Thank you for your opinion on the MCN2 issue.

Will the higher margins on the recent AMP and now MCN2 issues (over 5%) affect the pricing of other hybrids like MBLHB, CBAPD, ORGHA, ANZPF, etc?

Thank you in advance for your valuable guidance.

 

A: Whenever there is new supply, existing issues tend to get sold off a touch (that is, a lower price means a higher effective margin).
As it is only circa $400m, it is not that big – so I wouldn’t expect too much impact and from what I have seen to date, there hasn’t been that much movement in the prices of other hybrids.


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