NEW YORK--(BUSINESS WIRE)--The U.S. high yield par default rate continues to track closely to the 2012 year-end rate of 1.9%, according to Fitch Ratings. At the end of February, it slipped modestly to 1.8% (mostly due to the market's larger size), and Fitch projects a similar level for the first quarter.
Defaults in February included Reader's Digest and chipmaker Conexant Systems, affecting a combined $0.7 billion in bonds and bringing the year-to-date tally to $2.8 billion (and issuer count to six). This compares with $2.5 billion in defaults and six issuers in the first two months of 2012.
To date, March has added filings from gaming operator Revel AC, Inc. and phone directory publisher Dex Media, and two missed interest payments from oil and gas company GMX Resources and healthcare concern Rotech. These add an estimated $1.5 billion to the year's default tally.
For full details of default, recovery and other metrics through February please see 'Fitch U.S. High Yield Default Insight - February 2013, available at 'www.fitchratings.com' or by clicking on the link below.
Additional information is available at 'www.fitchratings.com'.
Applicable Criteria and Related Research:
--'Fitch U.S. High Yield Default Insight - The Impact of Industry Selection on Default Risk'
Applicable Criteria and Related Research Fitch U.S. High Yield Default Insight - February 2013
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=703596
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