TIM 0.00% 4.4¢ timbercorp limited

Hi watford.You are correct but the market isn't stupid.The...

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    Hi watford.

    You are correct but the market isn't stupid.

    The reason the effective coupon on the TIMPB is so high is because the market is factoring in that here is a very high risk (and growing) that TIM will default on the payments. If that happens then what is TIMPB worth?
 
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Currently unlisted public company.

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