S&P cuts Detroit's GO debt further into junk status
(Reuters) - Standard & Poor's Ratings Services cut its rating on Detroit's general obligation debt to 'C' from 'CC' on Friday, and gave the bankrupt Michigan city a negative outlook.
"The downgrade reflects the city's position as the subject of a bankruptcy petition, as of July 18, 2013," said Standard & Poor's credit analyst Jane Ridley.
"The negative outlook reflects our expectation that, given the Emergency Manager's statements regarding debt restructuring, actions taken to date, and negotiations currently underway with bondholders, we could lower the rating in the one-year time horizon of the outlook," Ridley said.
(Reporting by Edward Krudy; Editing by Chizu Nomiyama)
- Target holiday cyber breach hits 40 million payment cards
- Housing, jobs data weaken, but overall economic picture still upbeat
- UPDATE 3-Saab wins Brazil jet deal after NSA spying sours Boeing bid
- Zuckerberg to sell Facebook shares worth about $2.3 billion
- Special Report: Why Ukraine spurned the EU and embraced Russia