TransAlta has done a deal with Brookfield Renewable:
TransAlta Corp. has lined up Brookfield Renewable Partners LP for a $750-million investment that aims to accelerate its move to renewable power and return money to shareholders who have been waiting for a turnaround.
TransAlta will use $350-million to speed its move away from coal and gas power, and another $250-million for a major share buyback. TransAlta will use the rest for other energy projects and general corporate spending. The Brookfield fund, an offshoot of Brookfield Asset Management Inc., is buying new TransAlta convertible debt and preferred stock. Each will pay 7-per-cent annual interest that will be exchangeable, in 2024, into up to 49 per cent of TransAlta’s Alberta hydro assets, based on their profitability at the time.
Brookfield − which already owned nearly 5 per cent of TransAlta in one of Brookfield Asset Management’s many investment funds − also committed to increasing its ownership in TransAlta’s common stock to 9 per cent by buying on the open market, so long as it pays no more than $10 a share.
DBRS notes that TAC’s 2018 consolidated and non-consolidated financial ratios improved notably from 2017 levels, reflecting a significant reduction of debt and relatively stable cash flow. Although the Investment will raise the debt and equivalents modestly, the pro forma level of corporate debt and equivalents would still remain below the 2017 level. As a result, DBRS does not expect the Investment and the use of proceeds as currently proposed by TAC to have a material impact on TAC’s credit profile.
| HIMIPref™ Preferred Indices These values reflect the December 2008 revision of the HIMIPref™ Indices Values are provisional and are finalized monthly |
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| Index | Mean Current Yield (at bid) |
Median YTW |
Median Average Trading Value |
Median Mod Dur (YTW) |
Issues | Day’s Perf. | Index Value |
| Ratchet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -1.2584 % | 2,082.0 |
| FixedFloater | 0.00 % | 0.00 % | 0 | 0.00 | 0 | -1.2584 % | 3,820.3 |
| Floater | 5.62 % | 5.78 % | 43,545 | 14.24 | 3 | -1.2584 % | 2,201.7 |
| OpRet | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.0596 % | 3,278.0 |
| SplitShare | 4.87 % | 4.57 % | 77,193 | 3.88 | 8 | 0.0596 % | 3,914.7 |
| Interest-Bearing | 0.00 % | 0.00 % | 0 | 0.00 | 0 | 0.0596 % | 3,054.4 |
| Perpetual-Premium | 5.67 % | -8.19 % | 68,230 | 0.08 | 7 | 0.2364 % | 2,930.9 |
| Perpetual-Discount | 5.39 % | 5.46 % | 75,131 | 14.54 | 26 | 0.1136 % | 3,095.0 |
| FixedReset Disc | 5.26 % | 5.24 % | 185,894 | 14.98 | 64 | -1.0699 % | 2,165.9 |
| Deemed-Retractible | 5.24 % | 5.87 % | 96,726 | 8.19 | 27 | 0.0507 % | 3,060.5 |
| FloatingReset | 4.25 % | 4.09 % | 41,831 | 2.72 | 5 | -0.6612 % | 2,379.3 |
| FixedReset Prem | 5.08 % | 3.85 % | 328,071 | 2.23 | 19 | -0.1733 % | 2,564.5 |
| FixedReset Bank Non | 1.98 % | 3.97 % | 145,511 | 2.75 | 3 | -0.1250 % | 2,633.4 |
| FixedReset Ins Non | 5.04 % | 6.53 % | 114,186 | 8.35 | 22 | -1.3895 % | 2,237.4 |
| Performance Highlights | |||
| Issue | Index | Change | Notes |
| MFC.PR.N | FixedReset Ins Non | -5.59 % | A nonsensical quote provided at high cost by Nonsense Central, as the issue traded 3600 shares today in a range of 18.015-58 before being quoted at 17.22-20 offered. The closing price was 18.10.
I have not checked whether the lamentable state of the quote is due to inadequate Toronto Stock Exchange reporting or inadequate Toronto Stock Exchange supervision of market-makers. YTW SCENARIO |
| TD.PF.E | FixedReset Disc | -4.23 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 20.83 Evaluated at bid price : 20.83 Bid-YTW : 5.21 % |
| MFC.PR.L | FixedReset Ins Non | -4.16 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 17.30 Bid-YTW : 7.95 % |
| HSE.PR.A | FixedReset Disc | -4.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 12.50 Evaluated at bid price : 12.50 Bid-YTW : 6.22 % |
| TRP.PR.B | FixedReset Disc | -4.08 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 11.76 Evaluated at bid price : 11.76 Bid-YTW : 5.77 % |
| SLF.PR.J | FloatingReset | -4.04 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 14.25 Bid-YTW : 9.52 % |
| SLF.PR.G | FixedReset Ins Non | -3.91 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 14.00 Bid-YTW : 9.35 % |
| BAM.PR.Z | FixedReset Disc | -3.85 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 19.73 Evaluated at bid price : 19.73 Bid-YTW : 5.71 % |
| PWF.PR.P | FixedReset Disc | -3.81 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 13.89 Evaluated at bid price : 13.89 Bid-YTW : 5.44 % |
| GWO.PR.N | FixedReset Ins Non | -3.37 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 14.62 Bid-YTW : 8.63 % |
| RY.PR.J | FixedReset Disc | -3.32 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 20.10 Evaluated at bid price : 20.10 Bid-YTW : 5.24 % |
| TRP.PR.A | FixedReset Disc | -3.05 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 14.30 Evaluated at bid price : 14.30 Bid-YTW : 5.94 % |
| MFC.PR.F | FixedReset Ins Non | -3.04 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 14.34 Bid-YTW : 8.94 % |
| BAM.PR.X | FixedReset Disc | -2.88 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 13.81 Evaluated at bid price : 13.81 Bid-YTW : 5.75 % |
| MFC.PR.J | FixedReset Ins Non | -2.40 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 20.78 Bid-YTW : 6.60 % |
| IFC.PR.A | FixedReset Ins Non | -2.28 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 16.30 Bid-YTW : 8.20 % |
| BAM.PR.R | FixedReset Disc | -2.27 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 15.90 Evaluated at bid price : 15.90 Bid-YTW : 5.79 % |
| MFC.PR.B | Deemed-Retractible | -2.21 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.66 Bid-YTW : 6.42 % |
| BAM.PF.E | FixedReset Disc | -2.20 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 17.35 Evaluated at bid price : 17.35 Bid-YTW : 5.84 % |
| BMO.PR.W | FixedReset Disc | -2.12 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 18.01 Evaluated at bid price : 18.01 Bid-YTW : 5.17 % |
| RY.PR.H | FixedReset Disc | -1.92 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 18.92 Evaluated at bid price : 18.92 Bid-YTW : 4.98 % |
| CU.PR.C | FixedReset Disc | -1.82 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 17.77 Evaluated at bid price : 17.77 Bid-YTW : 5.37 % |
| BAM.PR.K | Floater | -1.82 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 11.88 Evaluated at bid price : 11.88 Bid-YTW : 5.84 % |
| ELF.PR.H | Perpetual-Discount | -1.80 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 24.23 Evaluated at bid price : 24.60 Bid-YTW : 5.68 % |
| RY.PR.Z | FixedReset Disc | -1.69 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 18.65 Evaluated at bid price : 18.65 Bid-YTW : 4.98 % |
| CM.PR.Q | FixedReset Disc | -1.55 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 20.28 Evaluated at bid price : 20.28 Bid-YTW : 5.25 % |
| BMO.PR.S | FixedReset Disc | -1.55 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 19.03 Evaluated at bid price : 19.03 Bid-YTW : 5.04 % |
| BMO.PR.T | FixedReset Disc | -1.52 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 18.20 Evaluated at bid price : 18.20 Bid-YTW : 5.15 % |
| HSE.PR.C | FixedReset Disc | -1.51 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 18.95 Evaluated at bid price : 18.95 Bid-YTW : 6.09 % |
| TD.PF.C | FixedReset Disc | -1.45 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 19.00 Evaluated at bid price : 19.00 Bid-YTW : 4.96 % |
| BMO.PR.C | FixedReset Disc | -1.41 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 22.83 Evaluated at bid price : 23.75 Bid-YTW : 4.99 % |
| BAM.PR.T | FixedReset Disc | -1.40 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 16.20 Evaluated at bid price : 16.20 Bid-YTW : 5.77 % |
| SLF.PR.I | FixedReset Ins Non | -1.36 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 20.32 Bid-YTW : 6.53 % |
| MFC.PR.H | FixedReset Ins Non | -1.33 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.21 Bid-YTW : 5.95 % |
| EML.PR.A | FixedReset Ins Non | -1.31 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-04-17 Maturity Price : 25.00 Evaluated at bid price : 25.60 Bid-YTW : 4.36 % |
| EMA.PR.H | FixedReset Disc | -1.28 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 22.40 Evaluated at bid price : 23.16 Bid-YTW : 5.32 % |
| TRP.PR.F | FloatingReset | -1.18 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 14.20 Evaluated at bid price : 14.20 Bid-YTW : 6.33 % |
| TD.PF.A | FixedReset Disc | -1.15 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 18.86 Evaluated at bid price : 18.86 Bid-YTW : 4.99 % |
| PWF.PR.A | Floater | -1.14 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 13.00 Evaluated at bid price : 13.00 Bid-YTW : 5.38 % |
| TRP.PR.D | FixedReset Disc | -1.11 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 17.00 Evaluated at bid price : 17.00 Bid-YTW : 5.75 % |
| BIP.PR.C | FixedReset Disc | -1.08 % | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-09-30 Maturity Price : 25.00 Evaluated at bid price : 24.70 Bid-YTW : 5.86 % |
| RY.PR.M | FixedReset Disc | -1.07 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 20.25 Evaluated at bid price : 20.25 Bid-YTW : 5.04 % |
| NA.PR.W | FixedReset Disc | -1.07 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 17.50 Evaluated at bid price : 17.50 Bid-YTW : 5.39 % |
| CCS.PR.C | Deemed-Retractible | -1.04 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 22.76 Bid-YTW : 6.17 % |
| MFC.PR.G | FixedReset Ins Non | -1.04 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 20.92 Bid-YTW : 6.36 % |
| NA.PR.S | FixedReset Disc | -1.02 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 18.43 Evaluated at bid price : 18.43 Bid-YTW : 5.31 % |
| IAF.PR.B | Deemed-Retractible | 1.65 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.60 Bid-YTW : 6.38 % |
| CU.PR.E | Perpetual-Discount | 1.78 % | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 22.67 Evaluated at bid price : 22.90 Bid-YTW : 5.39 % |
| MFC.PR.C | Deemed-Retractible | 2.07 % | YTW SCENARIO Maturity Type : Hard Maturity Maturity Date : 2030-01-31 Maturity Price : 25.00 Evaluated at bid price : 21.25 Bid-YTW : 6.49 % |
| Volume Highlights | |||
| Issue | Index | Shares Traded |
Notes |
| TD.PF.A | FixedReset Disc | 112,030 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 18.86 Evaluated at bid price : 18.86 Bid-YTW : 4.99 % |
| TD.PF.C | FixedReset Disc | 92,200 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 19.00 Evaluated at bid price : 19.00 Bid-YTW : 4.96 % |
| TD.PF.H | FixedReset Prem | 53,898 | YTW SCENARIO Maturity Type : Call Maturity Date : 2021-10-31 Maturity Price : 25.00 Evaluated at bid price : 25.66 Bid-YTW : 4.08 % |
| HSE.PR.E | FixedReset Disc | 51,100 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 19.38 Evaluated at bid price : 19.38 Bid-YTW : 6.49 % |
| BAM.PF.F | FixedReset Disc | 30,725 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 19.80 Evaluated at bid price : 19.80 Bid-YTW : 5.49 % |
| BAM.PR.Z | FixedReset Disc | 27,011 | YTW SCENARIO Maturity Type : Limit Maturity Maturity Date : 2049-03-25 Maturity Price : 19.73 Evaluated at bid price : 19.73 Bid-YTW : 5.71 % |
| There were 17 other index-included issues trading in excess of 10,000 shares. | |||
| Wide Spread Highlights | ||
| Issue | Index | Quote Data and Yield Notes |
| PWF.PR.P | FixedReset Disc | Quote: 13.89 – 15.00 Spot Rate : 1.1100 Average : 0.6114 YTW SCENARIO |
| BMO.PR.C | FixedReset Disc | Quote: 23.75 – 24.70 Spot Rate : 0.9500 Average : 0.5562 YTW SCENARIO |
| TD.PF.E | FixedReset Disc | Quote: 20.83 – 21.89 Spot Rate : 1.0600 Average : 0.6662 YTW SCENARIO |
| MFC.PR.N | FixedReset Ins Non | Quote: 17.22 – 18.20 Spot Rate : 0.9800 Average : 0.6388 YTW SCENARIO |
| ELF.PR.H | Perpetual-Discount | Quote: 24.60 – 25.50 Spot Rate : 0.9000 Average : 0.6144 YTW SCENARIO |
| IFC.PR.F | Deemed-Retractible | Quote: 23.90 – 24.55 Spot Rate : 0.6500 Average : 0.3834 YTW SCENARIO |
“and another $250-million for a major share buyback”
HuH. okay then?
If you give me a hamburger today I will gladly pay you tomorrow.
Why does this seem so out of sorts to me, anyone?