Post by Logan on Jul 8, 2016 1:44:49 GMT -6
Guam’s A-minus bond rating from Fitch Ratings in New York may be lowered in the coming months because of the passage of the Puerto Rico bailout measure which was passed by the U.S. Senate on Thursday, June 30. Gov. Eddie Calvo and the Guam Economic Development Authority said a positive outlook remained.
A release from the company yesterday stated: “Fitch Ratings has placed the following ratings of the U.S. Virgin Islands Public Finance Authority and the government of Guam on Rating Watch Negative.”
In response, GEDA issued a release yesterday in which GEDA Administrator Jay Rojas stated the importance of noting that the “watch” does not affect Guam’s bond ratings. “Fitch placing the government of Guam on a Rating Watch Negative doesn’t effect Guam’s outstanding bonds. We remain at an investment grade bond rating of A-minus,” Rojas said.
Fitch stated that the passage in the U.S. Senate of the Puerto Rico Oversight, Management, and Economic Stability Act' known as 'PROMESA' on June 30, “fundamentally alters the premises used to rate certain tax-backed debt issued by territorial governments distinct from and above the territory's Issuer Default Rating.”
Read more: www.postguam.com/news/local/fitch-may-downgrade-bond-rating-of-guam-other-territories/article_e6427754-4420-11e6-bbcf-47e57e796201.html
A release from the company yesterday stated: “Fitch Ratings has placed the following ratings of the U.S. Virgin Islands Public Finance Authority and the government of Guam on Rating Watch Negative.”
In response, GEDA issued a release yesterday in which GEDA Administrator Jay Rojas stated the importance of noting that the “watch” does not affect Guam’s bond ratings. “Fitch placing the government of Guam on a Rating Watch Negative doesn’t effect Guam’s outstanding bonds. We remain at an investment grade bond rating of A-minus,” Rojas said.
Fitch stated that the passage in the U.S. Senate of the Puerto Rico Oversight, Management, and Economic Stability Act' known as 'PROMESA' on June 30, “fundamentally alters the premises used to rate certain tax-backed debt issued by territorial governments distinct from and above the territory's Issuer Default Rating.”
Read more: www.postguam.com/news/local/fitch-may-downgrade-bond-rating-of-guam-other-territories/article_e6427754-4420-11e6-bbcf-47e57e796201.html