Weekly Credit Update - Danske Bank · Company news from the past week Name News Implication Outokumpu Outokumpu (DBM:"B"): Some more colour given on the recently announced anti-dumping

31 March 2015

Weekly Credit Update

Important disclosures and certifications are contained from page 24 of this report

Senior Analyst Brian Børsting +45 45 12 85 19 [email protected]

Investment Research www.danskebank.com/CI

2

- Market news

- Company news

- Trade ideas

Contents

- Chart pack

- List of official and shadow ratings and recommendations

- Best and worst performers

3

Sources: Bloomberg, Danske Bank Markets

What’s on our mind - General credit market news

• The past week has been rather stable for the credit markets with the iTraxx Main 1bp tighter and the iTraxx Crossover wider by 1bp.

• In terms of issuance in the Nordic region we note that Norwegian shipping company Stolt Nielsen placed a 5-year NOK1,100m bond with a coupon of 3M NIBOR plus 4.10%. Overall we continue to believe that most fundamentals and technicals are in favour of credit and that the ECB’s asset purchase programme will underpin the hunt for yield. Recent fund flows also show continued positive inflow in both IG and HY credit funds. However, the recent heavy issuance is making it difficult to digest the new issue pipeline.

• Danish financial institution Nykredit made headlines by stating that the new rules discussed by the Basel Committee are likely to cut Nykredit’s capital ratio in half should the proposed new capital f loors be implemented. The idea is that all banks whether on standard model or IRB (internal models) will have to comply with the new standardised capital f loors to a larger degree making the risk weights among banks more aligned. As the risk weights are much higher in the standard model, Nykredit and all the other larger Nordic banks that are on IRB will suffer from this. However, as we see it, the big uncertainty and risk are whether or not the regulators will require that the banks will have to meet the capital requirements incl. buffers based on the standard model or IRB. We believe they will choose the latter, which basically means that the banks 'only' need to meet the absolute minimum requirements with the standard model, i.e. 8% in total capital ratio and 4.5% in CET1. We believe all the Nordic banks under coverage will be able to do so.

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Nordic Banks – The bigger picture - An overview of the development of the six largest Nordic Banks

Conclusions:

• The presentation ‘Nordic Banks – The bigger picture’ that we published on 26 March 2015 shows that the six largest Nordic banks in many areas are very similar, being exposed to the same macro conditions. However, Svenska Handelsbanken (SHB) and, in part, Swedbank appear much less focused on trading than the rest of the pack – i.e. Nordea has a trading book of more than 30% of its total assets. However, Nordea also has the lowest market risk (REA) compared to the size of the trading book, which mitigates the relatively large size of the trading book. The use of netting of derivatives is very different among the banks – i.e. DnB, SEB, Swedbank and SHB have a relatively low level of netting. In terms of liquidity, SHB also sticks out as very conservative, with more than 20% of assets at central banks and/or at other banks.

• On returns and efficiency, the performance is more diversified, with Swedbank leading the pack measured on return on average assets excl. one-offs and with Danske Bank still lagging peers despite making significant improvements since 2011. Overall capitalisation is high, in particular on risk-weighted measures. In our view DnB is clearly more robust than headline figures suggest.

• We have an Overweight recommendation on SEB, Marketweight on SHB and Swedbank and Underweight on DnB and Nordea.

-0.50%

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

2007 2008 2009 2010 2011 2012 2013 2014

Loan loss ratio

Danske DnB Nordea SEB SHB Swedbank

10.0%

12.0%

14.0%

16.0%

18.0%

20.0%

22.0%

Q213 Q313 Q413 Q114 Q214 Q314 Q414

CET1 (fully loaded Basel III)

Danske Bank DNB Nordea SEB SHB Swedbank

Source: Danske Bank Markets

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Best and worst performers - Investment grade

Source: Bloomberg, Danske Bank Markets

1 week in local currencies 1 month in local currencies

13,7

13,5

12,5

12,5

12,4

12,2

11,6

11,6

11,4

11,2

-4,7

-5,2

-5,4

-5,8

-6,0

-7,0

-7,1

-10,3

-13,0

-18,4

-20-1001020

Statkraft AS EUR 2022

Nordea Bank AB EUR 2025

Statoil ASA EUR 2025

TeliaSonera AB EUR 2027

Telenor ASA EUR 2025

Telenor ASA EUR 2024



Danske Bank A/S SEK 2017

AP Moeller - Maersk A/S EUR 2019

Vattenfall AB EUR 2016

Skandinaviska Enskilda Banken AB EUR …


SpareBank 1 SR-Bank ASA EUR 2016

DNB Bank ASA EUR 2020

Fortum OYJ EUR 2016

Lansforsakringar Bank AB SEK 2020

TDC A/S EUR 2015

Nordea Bank AB SEK 2017

SBAB Bank AB SEK 2018

Change in local currencies (bp)

1,8

1,6

1,5

1,4

0,6

0,6

0,5

0,5

0,5

0,5

-4,5

-4,7

-4,7

-5,2

-6,8

-8,0

-12,3

-16,3

-27,3

-29,7

-35-30-25-20-15-10-505


Swedbank AB EUR 2016


Nykredit Bank A/S EUR 2015

SBAB Bank AB EUR 2016

DNB Boligkreditt AS EUR 2018


Skandinaviska Enskilda Banken AB EUR …


Jyske Bank A/S EUR 2017



Teollisuuden Voima Oyj EUR 2019

Carlsberg Breweries A/S EUR 2022

Neste Oil OYJ EUR 2016

Skandinaviska Enskilda Banken AB SEK …


Lansforsakringar Bank AB SEK 2020

Nordea Bank AB SEK 2017

SBAB Bank AB SEK 2018


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Best and worst performers - High yield

Source: Bloomberg, Danske Bank Markets

1 week in local currencies 1 month in local currencies

147,0

117,8

87,5

44,0

29,3

23,3

19,9

16,5

12,2

11,6

-22,2

-25,4

-29,9

-30,0

-30,1

-36,4

-43,1

-45,1

-53,7

-54,6

-100-50050100150200

Golden Close Maritime Corp Ltd USD …

Olympic Shipping AS NOK 2019

North Atlantic Drilling Ltd USD 2019

Seadrill Ltd USD 2020

North Atlantic Drilling Ltd NOK 2018

SAS AB SEK 2019

Seadrill Ltd NOK 2018

SAS AB SEK 2017

Stolt-Nielsen Ltd NOK 2021

BW Offshore Ltd NOK 2017

Stena AB EUR 2019

Klaveness Ship Holding AS NOK 2018


Meda AB SEK 2016

Meda AB SEK 2018

Prosafe SE NOK 2020

Fred Olsen Energy ASA NOK 2016


Teekay Offshore Partners LP/Teekay …



317,0

273,9

264,2

249,5

240,8

219,4

202,8

155,5

120,3

72,2

-47,7

-51,4

-59,1

-62,9

-72,7

-78,2

-82,9

-113,8

-135,5

-156,4

-200-1000100200300400

Golden Close Maritime Corp Ltd USD …

Odfjell SE NOK 2015


North Atlantic Drilling Ltd USD 2019

Seadrill Ltd NOK 2018


SAS AB SEK 2019

North Atlantic Drilling Ltd NOK 2018

Olympic Shipping AS NOK 2019

Seadrill Ltd SEK 2019

Outokumpu OYJ EUR 2019

Hoist Kredit AB EUR 2017


Fred Olsen Energy ASA NOK 2016

Prosafe SE NOK 2018

Prosafe SE NOK 2017

Solstad Offshore ASA NOK 2019

Prosafe SE NOK 2019

Prosafe SE NOK 2020

Prosafe SE NOK 2016


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Vestas EUR 2.75% 2022 – priced attractively (published on 19 March 2015)

Source: Bloomberg, Moody’s, Danske Bank Markets

• Earlier this month Vestas issued a 7-year EUR500m senior unsecured bond – the Vestas 2.75% 2022.

• Bond documentation/structure (Vestas 2022) includes the following key terms: cross default, negative pledge (save for carve-out of up to EUR150m as permitted secured debt and/or assets securing non-recourse debt), change of control put (>50% of control/shares).

• We are not aware of the terms present in the EUR1,000m bank RCF facilities, which are likely stricter than the bond terms.

• Given our view of Vestas as a ‘BBB-’ credit ,we regard the current pricing as attractive.

• In our view, a ‘fair’ credit spread for this type of

bond would be in the range of 130-150bp.

• Our ‘fair spread assessment’ is estimated as the 7-year EUR BBB- curve plus a 60-80bp discount due to the lack of an official credit rating and the inherently politically-driven volatility in the business model.

VWSDC '22 (NR/NR)

0102030405060708090

100110120130140150160170180190200210220230240250260270280

2016 2017 2018 2019 2020 2021 2022 2023

Indicative ASW offer (bps)

EUR - credit curves

Global BB+

Corporates: BBB-

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Recent trade ideas

See the end of this presentation for a list of our coverage including shadow ratings and recommendations

Type Trade Idea

Opened 19/03/2015

Start spread 245

Closed 10/03/2015

Start spread -2

Opened 27/02/2015

Start spread 470

Opened 10/02/2015

Start spread 109

Opened 02/02/2015

Start spread 661

Opened 26/01/2015

Start spread -8

Opened 23/01/2015

Start spread 81

Opened 18/12/2014

Start spread 807

Curve spread Swith from SECUSS '17 to

SECUSS '21

The Securitas 2021 bond trades wider than the BBB-

curve while the Securitas 2017 bond trades at the

BBB+ curve. We recommend buying the Securitas 2021

Outright SASSS '17 We believe the SAS 2017 offers attractive absolute

value – supported by adequate liquidity

Sector spread Switch from NDA AT1 to SEB

AT1

We have an ‘overweight’ rating on SEB and an

‘underweight’ rating on Nordea and don’t believe

a 14bp pick-up for a four year maturity extension is fair.

Outright Buy Tallink 2018 FRN Tallink 2018 in NOK trades cheap to a global

median ‘BB - ’ credit curve ( converted into NOK )

Outright CITCON '3.75 We believe that CITCON'3.75s trade at an attractive

level relative to the 'BBB' curve

Outright EGASDK '20 EGASDK '20s, which we see as 'B' indicatively trade way

too cheap relative to the industrial 'B' curve

Outright Buy Vestas 2022 Vestas EUR 2.75% 2022 trades cheap to a EUR

corporate BBB curve.

Currency trade Close of trade SSAB Recent performance by the SSAB EUR bond has closed

the 19bp gap between the EUR and SEK

2019 bonds.

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Company news from the past week

Name News Implication

Outokumpu

Outokumpu (DBM:"B"): Some more colour given on the recently announced anti-dumping duties. The European Union introduces tariffs as high as 25.2% on stainless steel from China and Taiwan to curb competition for EU producers such as Acerinox SA, Aperam and Outokumpu. The levies, which take effect on Thursday, are for six months and may be prolonged for five years. The anti-dumping duties against China range from 24.3% to 25.2%, depending on the company; the levies against Taiwan range from 10.9% to 12%. As stated this has already been announced so should not have to much pricing impact, however, some investors may feel more confident now that the full details and implementation timeline are out.

Credit Neutral

Danfoss

Danfoss (NR) (BBB) delivered a strong FY 2014 report. Sales are up 2% and comparable EBITDA improved 10% y/y (this is including one month of earnings from the large Vacon acquisition from December 2014). The solid growth in earnings came on the back of currency tailwinds and strong sales in the US and Japan, but was partly offset by weaker China and Russia sales. Danfoss’s net debt more than doubled y/y to DKK11.5bn due to the financing of the Vacon transaction. Following this adj. net debt rose to 2.2x versus 1.1x at end 2013. Including the FY effect of Vacon we estimate this metric would be 2x, which is in line with S&P’s expectations for the current rating. Danfoss’s outlook is modest targeting only 5-10% growth including the Vacon effect. Underlying earnings are expected to improve modestly due to cost efficiency but offset by integration costs relating to Vacon. Overall a solid report from Danfoss.

Credit Neutral

10 Source: Danske Bank Markets

Company news from the past week (2)

Pulp & Paper

Report out from Moody's on the European Pulp and paper industry. Overall Moody's has a more positive view on the industry compared to its earlier stance(s). Moody's has in our view generally been more negative on the industry than S&P. The agency sees a stable development as improved earnings from expanding packaging operations will offset the continued decline in graphic paper prices and volumes. The agency cautions that most players including UPM, Stora and Metsa Board will see increased capex needs (up from an already high level in 2014) as the transitioning continues. However, given the strong balance sheet of most Nordic players in the space this should not be an issue in terms of credit quality and some treasure chests even leave headroom for additional shareholder friendliness, according to Moody's. Given already fairly tight spreads in the Nordic P&P space we do not expect this report from Moody's to have an effect in terms of improving spreads. We have Marketweight recommendations on both Stora Enso and UPM Kymmene.

Credit Neutral

A.P. Moller-Maersk

APMM has announced that Maersk Line will initiate a five-year investment plan in vessels corresponding to gross capex of USD15bn (average 3bn per year). Maersk Lines invested capital end-2014 was USD20bn - hence a significant capex programme. Note that Maersk Line states that it wants to continue just to grow with the market in terms of capacity expansion - hence the purpose of this investment is to keep a young fleet in order to decrease unit cost. Maersk Line is likely able to finance this capex by itself but overall the plan indicates - once again - that leverage is unlikely to go lower in APMM. End 2014 rep. net debt to EBITDA was 0.6x - at the bottom end of the historical range of 0.5-2.0x. Due to the large size of the programme we see it as slightly credit negative. We maintain our Marketweight recommendation on APMM.

Credit Negative

Fortum

Fortum's (UW) 'A2' rating was put on review for downgrade by Moody's. The rationale is much the same as we heard from S&P when it put its 'A-' rating on negative watch earlier this month, i.e. that Fortum's deteriorating business risk profile following the divestment of its network activities, is unlikely to be offset by lower leverage. This should be credit neutral as the market never really believed in Moody's ‘too high’ unsolicited rating. A downgrade has been long overdue.

Credit Neutral

Norwegian Banks

The Norwegian Ministry of Finance has decided to keep the level of the countercyclical capital buffer requirement for banks unchanged at 1 percent from 30 June 2015, in line with advice from Norges Bank. The Financial Supervisory Authority has stated that it believes the requirement should be set at 1,5 percent from 31 December 2015."Based on the development of key indicators and risk factors, The Ministry of Finance has today decided not to change the countercyclical buffer requirement now. The Ministry has among other things put emphasis on increased uncertainty about future economic development. Housing prices are rising at the same time as there are signs of a slowdown in the Norwegian economy, particularly as a result of the fall in oil prices. It is important that banks utilize current high profits to strengthen their equity capital. Lasting financial imbalances may facilitate an increase in the countercyclical buffer requirement in the future."

Credit Neutral

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.


Selected new issues

Selected new issues

Date Issuer Coupon CCY Volume Maturity S&P / Mdy / Fitch ASW/DM

27-03-2015 Schaeffler Finance Bv 3,25% EUR 600 m May-25 / Ba2 / B+316

25-03-2015 Air France-Klm 6,25% EUR 400 m PNC5.5 / / 1107

25-03-2015 Sap Se 1% EUR 600 m Apr-25 A / A2e / 50

23-03-2015 Deutsche Ann Fin Bv 1,5% EUR 500 m Mar-25 / / 110

25-03-2015 Stolt-Nielsen Ltd NIBOR3M +410bps NOK 1 100 m Apr-20 / / 410

25-03-2015 Corem Property Grp Ab STIB3M +350bps SEK 400 m Apr-18 / / 350

25-03-2015 Orava Residential Real 4,25% EUR 20 m Apr-20 / / 393

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Chart pack: euro spreads and returns Euro IG ASW, iBoxx indices

Source: Macrobond Financial, Danske Bank Markets [all charts]

Euro HY ASW, Merrill Lynch indices

IG Total Return, iBoxx indices, 2014-01=100

HY Total Return, Merrill Lynch indices, 2014-01=100

13

Chart pack: relative value iTraxx vs iBoxx

Source: Bloomberg, Macrobond Financial, Danske Bank Markets [all charts]

Euro vs US CDS indices - IG (Markit)

EUR CDS Spreads – Nordic Banks

Euro vs US HY bond indices (Merrill Lynch)

14

Chart pack: general market development European swap and government yields

Source: Macrobond, Danske Bank Markets [all charts]

Euro swap curve spread

3M TED-spread, US and euro area

EUR/USD basis swaps

15

Chart pack: fund flows Europe, net sales


Sweden, net sales

US, net sales

Norway, net sales

16

Chart pack: macro GDP y/y growth, calendar adjusted


Euro area y/y change in bank lending

Purchasing Manager Indices

Euro area lending standards

17

Ratings from S&P/Moody's/Fitch and Danske Bank Markets shadow ratings

Analyst(s)

Company Rating Outlook Sr. Unsec Rating Outlook Rating Outlook Rating OutlookAhlstrom Oyj B+ Stable Mads RosendalAkelius Residential Property Ab BBB- Stable BBB- Louis LandemanAmbu A/S BBB- Stable Jakob MagnussenAp Moeller - Maersk A/S BBB+ Stable Baa1 Stable Brian Børsting MARKET WEIGHTArla Foods Amba BBB+ Stable Mads RosendalAtlas Copco Ab A Stable A2 Stable Mads Rosendal UNDERWEIGHTAvinor As AA- Stable A1 Stable Ola Heldal MARKET WEIGHTBank 1 Oslo Akershus As BBB+ Stable T. Hovard / L. HolmBank Norwegian As BBB Stable T. Hovard / L. HolmBeerenberg Holdco Ii As B Stable Øyvind MossigeBillerudkorsnas Ab BBB- Stable Mads RosendalBw Offshore BB+ Stable Øyvind MossigeCargotec Oyj BBB- Stable Mads RosendalCarlsberg Breweries A/S Baa2 Neg BBB Stable Brian Børsting MARKET WEIGHTCermaq Asa BB Stable Knut-Ivar BakkenCitycon Oyj BBB Stable Baa2 Stable Emil HjalmarssonColor Group As BB- Stable B+ Niklas RipaCom Hem Holding Ab BB- Stable Ola HeldalDanfoss A/S BBB Stable Jakob MagnussenDanske Bank A/S A Neg A3 Stable A StableDfds A/S BBB- Stable Niklas RipaDlg Finance As BB- Stable Mads RosendalDna Ltd BBB- Stable Ola HeldalDnb Bank Asa A+ Stable A1 Neg T. Hovard / L. Holm UNDERWEIGHTDong Energy A/S BBB+ Stable Baa1 Stable BBB+ Stable Jakob Magnussen MARKET WEIGHTDsv A/S BBB Stable Brian BørstingEg Holding B Stable Jakob MagnussenEika Boligkreditt As A- Stable T. Hovard / L. HolmEika Gruppen As BBB Stable T. Hovard / L. HolmElectrolux Ab BBB Stable Wr WD Brian Børsting MARKET WEIGHTElenia Oy Jakob Magnussen OVERWEIGHTElisa Oyj BBB Pos Baa2 Stable Ola Heldal OVERWEIGHT

Recomm.Danske Bank S&P Moody's Fitch

Our coverage and shadow ratings 1 of 5

Source: Standard & Poor's, Moody's, Fitch, Danske Bank Markets

18


Analyst(s)

Company Rating Outlook Sr. Unsec Rating Outlook Rating Outlook Rating OutlookAhlstrom Oyj B+ Stable Mads RosendalAkelius Residential Property Ab BBB- Stable BBB- Louis LandemanAmbu A/S BBB- Stable Jakob MagnussenAp Moeller - Maersk A/S BBB+ Stable Baa1 Stable Brian Børsting MARKET WEIGHTArla Foods Amba BBB+ Stable Mads RosendalAtlas Copco Ab A Stable A2 Stable Mads Rosendal UNDERWEIGHTAvinor As AA- Stable A1 Stable Ola Heldal MARKET WEIGHTBank 1 Oslo Akershus As BBB+ Stable T. Hovard / L. HolmBank Norwegian As BBB Stable T. Hovard / L. HolmBeerenberg Holdco Ii As B Stable Øyvind MossigeBillerudkorsnas Ab BBB- Stable Mads RosendalBw Offshore BB+ Stable Øyvind MossigeCargotec Oyj BBB- Stable Mads RosendalCarlsberg Breweries A/S Baa2 Neg BBB Stable Brian Børsting MARKET WEIGHTCermaq Asa BB Stable Knut-Ivar BakkenCitycon Oyj BBB Stable Baa2 Stable Emil HjalmarssonColor Group As BB- Stable B+ Niklas RipaCom Hem Holding Ab BB- Stable Ola HeldalDanfoss A/S BBB Stable Jakob MagnussenDanske Bank A/S A Neg A3 Stable A StableDfds A/S BBB- Stable Niklas RipaDlg Finance As BB- Stable Mads RosendalDna Ltd BBB- Stable Ola HeldalDnb Bank Asa A+ Stable A1 Neg T. Hovard / L. Holm UNDERWEIGHTDong Energy A/S BBB+ Stable Baa1 Stable BBB+ Stable Jakob Magnussen MARKET WEIGHTDsv A/S BBB Stable Brian BørstingEg Holding B Stable Jakob MagnussenEika Boligkreditt As A- Stable T. Hovard / L. HolmEika Gruppen As BBB Stable T. Hovard / L. HolmElectrolux Ab BBB Stable Wr WD Brian Børsting MARKET WEIGHTElenia Oy Jakob Magnussen OVERWEIGHTElisa Oyj BBB Pos Baa2 Stable Ola Heldal OVERWEIGHT




19


Analyst(s)

Company Rating Outlook Sr. Unsec Rating Outlook Rating Outlook Rating OutlookEntra Eiendom As A- Stable Ola HeldalFarstad Shipping Asa BB Neg BB- Øyvind MossigeFingrid Oyj A+ Stable A1 Stable A+ Stable Jakob Magnussen MARKET WEIGHTFinnair Oyj BB Stable Brian BørstingFortum Oyj A- Neg A2 Neg A- Neg Jakob Magnussen UNDERWEIGHTFortum Varme Holding Samagt Med Stockholms Stad Ab BBB+ Stable Jakob MagnussenFred Olsen Energy Asa BB Stable BB- Sondre StormyrG4S Plc BBB- Stable Brian Børsting OVERWEIGHTGetinge Ab BB+ Neg Louis LandemanGolden Close Maritime Corp Ltd B- Sondre StormyrHeimstaden Ab BB Stable BB- Louis LandemanHemso Fastighets Ab BBB+ Stable BBB Emil HjalmarssonHkscan Oyj BB Stable Brian BørstingHoist Kredit Ab BB- Stable B+ Gabriel BerginHusqvarna Ab BBB- Pos Emil HjalmarssonIkano Bank Ab BBB Stable T. Hovard / L. HolmInvestor Ab AA- Stable A1 Stable Brian Børsting OVERWEIGHTIss A/S BBB- Stable Brian Børsting MARKET WEIGHTJ Lauritzen A/S B Stable B- Bjørn Kristian RøedJernhusen Ab A- Stable Gabriel BerginJyske Bank A/S A- Stable Baa1 Neg T. Hovard / L. Holm OVERWEIGHTKesko Oyj BBB Stable Mads RosendalKlaveness Ship Holding As BB- Stable B+ Bjørn Kristian RøedLoomis Ab BBB- Stable Brian BørstingLuossavaara-Kiirunavaara Ab BBB+ Stable Louis LandemanMeda Ab BB- Stable Louis LandemanMetsa Board Oyj BB Stable B1 Pos Mads RosendalMetso Oyj BBB Stable Baa2 Stable Mads Rosendal MARKET WEIGHTNcc Ab BBB- Stable Emil HjalmarssonNeste Oil Oyj BBB- Stable Jakob Magnussen MARKET WEIGHTNokia Oyj BB Pos Ba2 Pos BB Stable Ola Heldal MARKET WEIGHTNokian Renkaat Oyj BBB+ Stable Jakob Magnussen




20


Analyst(s)

Company Rating Outlook Sr. Unsec Rating Outlook Rating Outlook Rating OutlookNorth Atlantic Drilling Ltd BB- Neg B+ Sondre StormyrNorwegian Air Shuttle Asa BB- Stable B+ Brian BørstingNorwegian Property Asa BBB- Stable Ola HeldalNykredit Bank A/S A+ Neg Baa2U Stable A Stable T. Hovard / L. Holm MARKET WEIGHTNynas Group B+ Stable B+ Jakob MagnussenOcean Yield Asa BB BB- Øyvind MossigeOdfjell Se B+ Stable B Bjørn Kristian RøedOlav Thon Eiendomsselskap Asa BBB+ Stable Ola HeldalOlympic Shipping As B+ Stable B Øyvind MossigeOrkla Asa BBB+ Pos Ola HeldalOutokumpu Oyj B Pos Mads RosendalPohjola Bank Oyj AA- Neg Aa3 Neg A+ Stable T. Hovard / L. Holm UNDERWEIGHTPosten Norge As A- Stable Ola HeldalPostnord Ab BBB+ Stable Gabriel BerginProsafe Se BB Stable Sondre StormyrRamirent Oyj BB+ Stable Brian BørstingSampo Oyj Baa2 Stable T. Hovard / L. Holm MARKET WEIGHTSandnes Sparebank BBB+ Stable T. Hovard / L. HolmSandvik Ab BBB Neg Mads Rosendal MARKET WEIGHTSas Ab B- Stable Wr Stable Brian BørstingSbab Bank Ab A Neg A2 Neg T. Hovard / L. Holm MARKET WEIGHTScania Ab A- Stable Mads Rosendal MARKET WEIGHTSchibsted Asa BBB Stable Ola HeldalSeadrill Ltd BB Neg BB- Sondre StormyrSecuritas Ab BBB Stable Wr Brian Børsting MARKET WEIGHTSkandinaviska Enskilda Banken Ab A+ Neg A1 Neg A+ Pos T. Hovard / L. Holm OVERWEIGHTSkanska Ab BBB+ Stable Emil HjalmarssonSkf Ab BBB+ Neg Baa1 Stable Mads Rosendal UNDERWEIGHTSognekraft As BBB Stable BBB Jakob MagnussenSolstad Offshore Asa BB- Stable B+ Øyvind MossigeSpar Nord Bank A/S BBB+ Stable T. Hovard / L. HolmSparebank 1 Boligkreditt As A- Stable Aaa T. Hovard / L. Holm




21


Analyst(s)

Company Rating Outlook Sr. Unsec Rating Outlook Rating Outlook Rating OutlookSparebank 1 Nord Norge A2 Neg A Stable T. Hovard / L. Holm UNDERWEIGHTSparebank 1 Smn A2 Neg A- Stable T. Hovard / L. Holm UNDERWEIGHTSparebank 1 Sr-Bank Asa A2 Neg A- Stable T. Hovard / L. Holm UNDERWEIGHTSponda Oyj BBB- Stable Emil HjalmarssonSt1 Nordic Oy BB Stable Jakob MagnussenStatkraft Sf A- Stable Aaa Stable Jakob Magnussen OVERWEIGHTStatnett Sf A+ Stable Wr Stable Jakob Magnussen MARKET WEIGHTStatoil Asa AA- Stable Aa2 Stable Jakob Magnussen UNDERWEIGHTSteen & Strom As BBB+ Stable Ola HeldalStena Ab BB Stable B2 Stable Niklas Ripa OVERWEIGHTStockmann Oyj Abp B+ Stable Mads RosendalStolt-Nielsen Ltd BB+ Stable BB Bjørn Kristian RøedStora Enso Oyj BB Stable Ba2 Stable WD Mads Rosendal MARKET WEIGHTStorebrand Bank Asa BBB+ Stable BBB+ Neg Baa2 Neg T. Hovard / L. HolmSunnfjord Energi As BBB- Stable BBB- Jakob MagnussenSuomen Hypoteekkiyhdistys A- Stable T. Hovard / L. HolmSvensk Fastighetsfinansiering Ab BBB Stable Louis LandemanSvenska Cellulosa Ab Sca A- Stable Baa1 Stable Mads Rosendal OVERWEIGHTSvenska Handelsbanken Ab AA- Neg Aa3 Neg AA- Stable T. Hovard / L. Holm MARKET WEIGHTSwedavia Ab A- Stable Gabriel BerginSwedbank Ab A+ Neg A1 Neg A+ Pos T. Hovard / L. Holm MARKETWEIGHTSwedish Match Ab BBB Stable Baa2 Stable Brian Børsting OVERWEIGHTSydbank A/S Baa1 Neg T. Hovard / L. Holm OVERWEIGHTSaab Ab BBB+ Stable Wr Emil HjalmarssonTallink Group As BB Stable BB- Niklas RipaTdc A/S BBB Neg Baa3 Stable BBB Neg Ola Heldal MARKET WEIGHTTeekay Offshore Partners Lp BB- Stable B+ Bjørn Kristian RøedTele2 Ab BBB Stable Ola HeldalTelefonaktiebolaget Lm Ericsson BBB+ Stable Baa1 Stable BBB+ Stable Ola Heldal MARKET WEIGHTTelenor Asa A Stable A3 Stable Ola Heldal MARKET WEIGHTTeliasonera Ab A- Stable A3 Neg A- Stable Ola Heldal UNDERWEIGHTTeollisuuden Voima Oyj BBB Neg Wr BBB Stable Jakob Magnussen OVERWEIGHT




22


Analyst(s)

Company Rating Outlook Sr. Unsec Rating Outlook Rating Outlook Rating OutlookThon Holding As BBB+ Stable Ola HeldalTine Sa BBB+ Stable Ola HeldalUpm-Kymmene Oyj BB+ Stable Ba1 Stable WD Mads Rosendal MARKET WEIGHTVasakronan Ab A- Stable Emil HjalmarssonVattenfall Ab A- Stable A3 Stable A- Neg Jakob Magnussen MARKET WEIGHTVestas Wind Systems A/S BBB- Pos Niklas Ripa OVERWEIGHTVictoria Park Ab BB- Stable B+ Louis LandemanVolvo Ab BBB Neg Baa2 Neg BBB Stable Mads Rosendal MARKET WEIGHTWilh Wilhelmsen Asa BBB- Stable Bjørn Kristian RøedYit Oyj B Neg Emil Hjalmarsson




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Fixed Income Credit Research team Thomas Hovard, Chief Analyst Head of Credit Research +45 45 12 85 05 [email protected]

Louis Landeman, Analyst TMT, Industrials +46 8 568 80524 [email protected]

Mads Rosendal, Analyst Industrials, Pulp & Paper +46 8 568 80594 [email protected]

Jakob Magnussen, Senior Analyst Utilities, Energy +45 45 12 85 03 [email protected]

Knut-Ivar Bakken, Analyst Fish Farming +47 85 40 70 74 [email protected]

Brian Børsting, Senior Analyst Industrials +45 45 12 85 19 [email protected]

Lars Holm, Senior Analyst Financials +45 45 12 80 41 [email protected]

Gabriel Bergin, Analyst Strategy, Industrials +46 8 568 80602 [email protected]

Niklas Ripa, Senior Analyst High Yield, Industrials +45 45 12 80 47 [email protected]

Bjørn Kristian Røed, Analyst Shipping +47 85 40 70 72 [email protected]

Ola Heldal, Analyst TMT +47 85 40 84 33 [email protected]

Sondre Dale Stormyr, Analyst Offshore Rigs +47 85 40 70 70 [email protected]

Henrik René Andresen, Analyst Credit Portfolios +45 45 13 33 27 [email protected]

Øyvind Mossige, Senior Analyst Oil Services +47 85 40 54 91 [email protected]

Emil Hjalmarsson, Analyst Real Estate, Construction +46 8 568 80634 [email protected]

mailto:[email protected]















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Disclosures

This research report has been prepared by Danske Bank Markets, a division of Danske Bank A/S (‘Danske Bank’). The author of this research report is Thomas Hovard, Chief Analyst.

Analyst certification

Each research analyst responsible for the content of this research report certifies that the views expressed in the research report accurately reflect the research analyst’s personal view about the financial instruments and issuers covered by the research report. Each responsible research analyst further certifies that no part of the compensation of the research analyst was, is or will be, directly or indirectly, related to the specific recommendations expressed in the research report.

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General disclaimer

This research has been prepared by Danske Bank Markets (a division of Danske Bank A/S). It is provided for informational purposes only. It does not constitute or form part of, and shall under no circumstances be considered as, an offer to sell or a solicitation of an offer to purchase or sell any relevant financial instruments (i.e. financial instruments mentioned herein or other financial instruments of any issuer mentioned herein and/or options, warrants, rights or other interests with respect to any such financial instruments) (‘Relevant Financial Instruments’).

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The opinions expressed herein are the opinions of the research analysts responsible for the research report and reflect their judgement as of the date hereof. These opinions are subject to change, and Danske Bank does not undertake to notify any recipient of this research report of any such change nor of any other changes related to the information provided in this research report.

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Disclaimer related to distribution in the United States

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Documents

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