(Adds reason for ratings withdrawal, second paragraph,
June 16 Fitch Ratings said on Monday it has
withdrawn the D ratings on about $2.1 billion of defaulted
Amy Laskey, a Fitch managing director, said it was the
credit rating agency's policy to withdraw ratings on defaulted
Detroit, which filed the biggest municipal bankruptcy in
U.S. history in July 2013, skipped payments on bonds it
considered to be unsecured debt, resulting in the defaults.
The affected bonds are about $1.5 billion of pension
certificates of participation sold in 2005 and 2006, $411
million of unlimited-tax general obligation bonds and nearly
$203 million of limited-tax GO bonds, according to Fitch.
The rating agency said it will continue to monitor the
city's bankruptcy proceedings and provide market commentary as
Laskey said Fitch continues to rate Detroit's water and
sewer bonds, which have not be subject to a default. Those bonds
are rated BB-plus and BB and are on a watch list for a possible
downgrade, she added.
(Reporting by Tanvi Mehta in Bangalore and Karen Pierog in
Chicago; Editing by Dan Grebler)