Research Update: Ratings On Wide Bay Australia Ltd. Raised To ?BBB/A-2? On Bank Criteria Revision; Outlook Stable Dec 11
- Language: English
- Published: December 2011
- Region: Australia
Implicit support from stronger-rated parent, Wide Bay Australia Ltd. Good risk-based capitalization Good liquidity Marginal competitive position as a company in wind-down Concentrated underlying book of business Somewhat aggressive investment allocations compared to peers The 'BBB-' financial strength and issuer credit ratings on Mortgage Risk Management Pty Ltd. (MRM) reflects the company's 'bb+' stand-alone credit profile (SACP) and one notch of ratings benefit from being a moderately strategically important (MSI) subsidiary of Queensland-based building society Wide Bay Australia Ltd. (WBA; BBB/Stable/A-2). In our opinion, MRM has a 'bb+' SACP because of its good risk-based capitalization and good liquidity. These strengths are moderated by the company's marginal competitive position as a company in wind-down, plus its concentrated underlying book of business...
Companies mentioned in this report are:
- Mortgage Risk Management Pty Ltd.
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Research Type: Full Analysis