Summary: Ausdrill Ltd.

Weakened business risk profile due to decreased overall demand and reduced business activity No immediate turnaround prospects due to subdued market conditions and lower mining investment Exposure to profitable production-based mining activities Forecast weak credit metrics due to challenging trading conditions High volatility of cash flows Continued cost reduction and wind-back of discretionary capital expenditure The stable outlook reflects our expectation that future loss of contracts will be contained and that Ausdrill Ltd. will maintain an adequate level of business activity. We expect Ausdrill to be able to maintain its order book with profitable production-based contracts. A downgrade is likely to result from further weakening in Ausdrill's business risk profile. This could be evidenced by further underperformance stemming from nonrenewal

...Outlook: Stable The stable outlook reflects our expectation that future loss of contracts will be contained and that Ausdrill Ltd. will maintain an adequate level of business activity. We expect Ausdrill to be able to maintain its order book with profitable production-based contracts....

Summary