S&P lowers Puerto Rico's PRIFA to 'default' after missed payment

Reuters News
Posted: Jan 05, 2016 1:28 PM

(Reuters) - Standard & Poor's Ratings Services on Tuesday downgraded Puerto Rico Infrastructure Authority bonds secured by rum taxes to 'D' (default) from 'CC' with a negative outlook a day after the authority defaulted on a roughly $36 million interest payment.

In a public filing on Monday, the trustee for the bonds said holders were paid through a combination of cash on hand and payments from Ambac Financial, which insures some of the bonds.

(Reporting by Nick Brown, editing by G Crosse)