According to a recent report by Fitch Ratings, the U.S. high yield par default rate continues to track closely to the 2012 year-end rate of 1.9%. 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.
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 of $2.8 billion through February, slightly above the $2.5 billion count of the first two months of 2012. An update of default, recovery rates and other metrics can be found by clicking on the report link below (login required – no cost).