Mining group Xstrata has the potential to breach banking covenants, analysts
Tumbling coal prices could hit the Xstrata’s revenues for 2008 and 2009,
which could force it to breach debt covenants of three times gross debt to
EBITDA on $10bn (£6.7bn) of bank loans, reported the Telegraph.
‘There is a possibility that Xstrata may breach this covenant in December
2009 earnings, ‘wrote UBS analysts Grant Spore and Paul Galloway.
‘We believe that consensus earnings before interest, tax, depreciation and
amortisation for 2008/09 of around $11.1bn are still too high and are likely to
come down further in the next few weeks.’
Does Darwin's theory apply to taxation? Colin ponders...
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states
Accountancy watchdog the FRC has dropped its investigation into the former chief financial officer of Tesco, nearly two years after the supermarket was engulfed in an accounting scandal
Colin imagines how Apple's logo might change in the wake of the EC's ruling over its Irish tax arrangements