CHICAGO (Standard & Poor's) July 8, 2010--Standard & Poor's Ratings Services lowered its long-term and underlying ratings (SPUR) on Xenia Rural Water District, Iowa's 2006 water revenue bonds to 'D' from 'BB'. The downgrade reflects our view of the district's inability to fully service its June 1, 2010, interest payment. The district owed $1.88 million, paying all but $69,000 of its payment on that date, which included exhausting the remainder of its debt service reserve. The paying agent submitted a claim to CIFG Assurance North America Inc., the bonds' insurer, to cover the remaining payment. The rating on the bonds was previously lowered to 'BB' on Aug. 19, 2009. Standard & Poor's typically lowers its rating on an issue to...
Companies mentioned in this report are: Xenia Rural Wtr Dist
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