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Finance and Risk

MOODYS INVESTOR SERVICEMoody's Investors Service says it expects Thames Water to get an AMP8 decision from water sector regulator Ofwat which will enable it to secure the future investment it needs from shareholders.

World Bank report May 2024 - Funding a Water-Secure Future - an Assessment of Global Public SpendingThe World Bank is warning that the world is experiencing an annual spending shortfall of between US$131.4 TO $140.8 billion needed to achieve the UN’s Sustainable Development Goal (SDG) targets for universal access to safe water and sanitation.

DEFRA ADDRESS PLATE£11.5 million of government support funding will enable local projects across England to clean up lakes and rivers, protect communities from flooding and plant thousands of trees.

FT ARTICLE THAMES CUSTOMERS PAY 3 X FOR TIDEWAY TUNNELWater sector regulator Ofwat has rejected the suggestion in a recent article in the Financial Times that Thames Water customers will pay “three times over” for the costs of the Thames Tideway Tunnel.

OFWAT LOGOOfwat has agreed to Sutton and East Surrey Water’s (SES Water) request to extend a time-limited derogation granted by Ofwat on 25 May 2023 to maintain investment grade Issuer Credit Ratings with a single Credit Rating Agency rather than two.

Moodys Investors Service is warning it “cannot fully exclude some contagion risk” resulting from the formal notices of default sent by Thames Water's holding company Kemble Water Finance Limited and its financing subsidiary Thames Water (Kemble) Finance PLC to the holders of their debt instruments, including the £400 million 4.625% senior secured notes due in May 2026.

THAMES WATER HQKemble Water Finance, parent company of Thames Water, has defaulted on its debt to creditors after failing to make an interest payment which was due on Tuesday according to reports in online media, including Reuters, Financial Times, Bloomberg and City AM.

THAMES WATER HQFitch Ratings has downgraded Thames Water’s holding company, Kemble Water Finance Ltd long-term Issuer Default Rating (IDR) and senior secured debt rating to 'CC' from 'CCC' – two steps above default.

FINANCE  INVESTMENT 1The Chartered Institute of Internal Auditors (CIIA) has warned Ofwat of the need to ensure that all the water companies have internal auditors, according to a report by the Financial Times at the weekend.

TELEGRAPH ARTICLE THAMES WATER 28 JAN 2024An article in The Telegraph newspaper is warning that Thames Water is facing a “sink or swim moment as its debt crisis deepens”.

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