Wednesday 28, April 2010 by

Greece’s bonds lowered to junk

Standard & Poor's has lowered its long- and short-term sovereign credit ratings on the Hellenic Republic (Greece) to 'BB+' and 'B', respectively, from 'BBB+' and 'A-2'. The outlook is negative. At the same time, it assigned a recovery rating of 4 to Greece's debt issues, indicating its expectation of ‘average’ (30 per cent-50 per cent) recovery for debtholders in the event of a debt restructuring or payment default. The 'AAA' transfer and convertibility assessment is unchanged.

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