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Accounting for Companies-I

Notes has paid in recent years. Williamson said “Sterling investors are no fools, they know that
housing associations are increasingly looking to the capital markets as banks are no longer
prepared to do long term deals. This reflects the new reality for Associations. They can still
do funding deals that most banks and many sovereign nations can only dream of”.
There is more HA issuance waiting in the wings, with public ratings announced for Radian,
Hastoe and Midland Heartand with a significant number of larger HAs waiting in the
wings to issue.

Another question in the market at the moment is whether the Bank of England will extend
its Quantitative Easing (so called QE2) programme beyond the end of February. The
programme is helping keep long term borrowing rates at levels last seen in Victorian
Britain. The most recent sharp fall in annual Consumer Price Inflation, targeted by the
Banks Monetary Policy Committee (MPC) combined with fears of a double dip recession,
suggest that QE may be extended beyond February. This would help keep the cost of
issuance down for HAs considering entering the capital markets later in the year.
THFC’s bond had a strong regional showing with two Scottish, three Welsh and two
Northern Irish Borrowers. The largest participant (£40m) was Dumfries and Galloway
HA, the largest Scottish Association outside Glasgow.
Source: http://www.thfcorp.com/whatsnew/pressreleases.html

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