The mapping links companies named in connection with the fires to bond issuers in three ways: through operations or corporate scrutiny, related-party and commercial ties, or group-level suppliers. Indofood CBP has the largest identified bond balance, USD2.75 billion, through its procurement from Indofood Agri Resources.
For these issuers, fires could mean lower yields, permit suspensions, restoration orders, certification restrictions and banks’ environmental lending requirements. But corporate disclosures focus on monitoring and firefighting, making these effects difficult to assess.
As providers of capital, bondholders can use engagement to seek better reporting and greater accountability for fire prevention, responsible land management and remediation.
