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S&P lowers Puerto Rico's rating to "CCC-" from "CCC+"

[PUERTO RICO] S&P lowered its rating on Puerto Rico to 'CCC-' from 'CCC+' with a negative outlook, saying a default, distressed exchange, or redemption of the commonwealth's debt appears to be inevitable within the next six months.

S&P said it has placed all debt at the same 'CCC-' level, reflecting its view that all debt obligations are potentially at risk for possible restructuring due to the severity of Puerto Rico's current fiscal situation. Puerto Rico's governor on Monday called for the commonwealth to be allowed to restructure its debts under the US bankruptcy code, while a newly appointed adviser to the US territory said it is "insolvent" and will soon run out of cash.

REUTERS