uk cuts rates by 150bpts ecb to follow

the UK central bank slashed rates by 1.50% to 3%, the ECB is expecting to cut rates to 3.25%.

this is going to reduce the Libor rates that AEZ pays on its loans, plus they are getting rental growth of 5% pa.

so you have lower interest expenses and higher revenue resulting in better margins and profits.

these rate cuts should also support the underlying value of the property assets given they are 97% leased.

management needs to come out and confirm the distributions and their intention to pay them because this uncertainly is hurting the unit price, just like the news about the RBS facility not being put into place the first time did.

AEZ needs get some serious new investors on board to support the unit price.