Dec 18 Standard & Poor's on Wednesday reduced to
"D" from "B" its credit ratings on some Jefferson County debt,
saying the Alabama local government's landmark bankruptcy
settlement had lowered payments on some warrants issued by the
S&P said the county, whose Dec. 3 emergence from Chapter 9
bankruptcy mostly involved sewer-system debt, also materially
changed an indenture underlying the county's non-sewer 2004A,
2005A-1, 2005A-2, 2005A-3, 2005A-4 and 2005B warrants.
"The modifications made to the indenture create materially
different obligations," the agency said in a news release.
Analysts for S&P were not immediately available to further
Home to Birmingham, Jefferson County's $4.2 billion
bankruptcy filing in 2011 was the largest ever by a U.S. local
government until Detroit's case in July. The county's settlement
concluded two weeks ago handed big losses to owners of its $3.2
billion of sewer debt.