S&P Global Ratings said it has lowered its long-term rating and underlying rating on the Puerto Rico Highway and Transportation Authority's subordinated transportation revenue bonds, series 1998, state infrastructure bank, to D (default) from CC, following a default on scheduled debt service due July 1, 2016.
These bonds were issued under a 1998 resolution, and had a debt service reserve held within the Puerto Rico State Infrastructure Bank Trust Fund.
The new-issue calendar rises to $9.175 billion next week, with $6.089 billion of negotiated deals coming to market and $3.086 billion of competitive deals on tap.
The private-activity bonds funding LAX's automated people mover project have been downgraded to junk by Fitch amid delays and disagreements with the private developer. But Fitch affirmed the airport's AA rating.
The Illinois state comptroller reported a 55% year-over-year increase in the general revenue fund cash balance as her office closed fiscal 2024.
Some PREPA bond parties suggest the bonds should paid in full, while the board is offering around 4% to those who haven't accepted a settlement.
The issuance is expected to generate strong interest in D.C., Virginia, and Maryland.
Between two state measures and one regional, California starts with $40 billion of GO bonds on the November ballot, before any other local measures are tallied.
