CORPORATES DAILY

Corporate bonds • 10 August 2010

ISS makes acquisition in India

Market comments ISS makes acquisition in India
Monday was another good ay with fair demand ISS has made a strategically-important acquisi-
for corporate bonds. The Xover index fell a little tion in India, securing 49% of India’s third-
and is now trading at around 473 after the largest provider of security services, SDB Cisco.
disappointing US job report on Friday. Attention The acquisition will make ISS’s presence in the
is now on the Fed to see if more fiscal-policy Indian market significant; it will have a staff
stimuli are introduced. totalling 45,000 employees within security
service.
Tuesday is expected to be a quiet day without
any major movements. The price of the stake in the Indian company
was not stated.
Moody’s ceases to rate Titan
The rating agency Moody’s has withdrawn its We maintain our BUY recommendation for ISS
rating on Titan Petrochemicals. The rating €11% 2014 and ISS €8.875% 2016 and still
withdrawal follows Titan’s restructure of the expect a listing in the course of the next twelve
bond issue $8.5% 2012. The principal of the months.
issue is now only USD 106m, which is subordi-
nated to the new bond issues (convertible and
pay-in-kind bonds).

The rating agency S&P withdrew its rating of

Publisher: Titan Petrochemicals on an earlier occasion, so
Jyske Markets the company no longer has any official rating.
Vestergade 8-16
DK - 8600 Silkeborg

Analyst:
Alex Hauge Andersen
+45 89 89 76 88
Alex@jyskebank.dk iTraxx Xover VDAX
36
750
Translation : 34
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550 28
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Read more corporate b l.o 26
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bond research reports at 24

www.jyskemarkets.com 350 22
20
250 18
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S12 S13
10-04-2010 10-05-2010 10-06-2010 10-07-2010 10-08-2010

ML EUR High Yield spread Moody’s European default rate

2500 18%
16%
2000 14%
12%
10%
1500
8%
p.b
6%
1000
4%
2%
500 0%

Disclaimer: 0
10-08-2000 10-08-2002 10-08-2004 10-08-2006 10-08-2008 10-08-2010
Please see the last page
Default Rate Moody's Baseline Moody's Pessimistic Moody's Optimistic
CORPORATES DAILY
Corporate bonds • 10 August 2010

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The research report is based on information which Jyske Bank finds reliable, but Jyske Bank does not assume any responsibility for the
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This is a recommendation and not an in-depth investment report.

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Jyske Bank’s corporate bond recommendations – current breakdown

Breakdown of recommendations, corporate bonds (number)
35

30

25

20

15

10

0
BUY HO LD S ELL

Source: Jyske Bank

Financial models
Jyske Bank uses mainly Credit Edge from Moody’s.

Risk
Investment in this corporate bond is associated with risk. Movements in the credit market, the sector and/or the news flows, etc.
regarding the company may affect the price of the bond. See the front page of the research report for our view of the risk associated
with the corporate bond. The risk factors stated and/or calculations of sensitivities in the research report are not to be considered all-
encompassing. If the corporate bond is denominated in a currency other than the investor’s base currency, the investor accepts an FX
risk.

Update of the research report

The planned update of the report will be prepared immediately upon the release of the company’s financial statements.

See the front page for the initial date of publication of the report.
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