Wednesday, September 29, 2010
Inc. (iStar) receiving a substantial amount of loan repayments from its borrowers, it is inevitable that the company will need to effect a coercive debt exchange (CDE) with its second lien noteholders to avoid bankruptcy,
according to Fitch Ratings.
A CDE is considered a default as outlined in Fitch’s global criteria report
'Coercive Debt Exchange Criteria', published on March 3, 2009. In response,
Fitch has downgraded iStar’s Issuer Default Rating (IDR) and certain
outstanding debt ratings.
For a complete copy of Fitch Ratings' news release and its ranking of iStar, please contact:
One State Street Plaza
New York, NY 10004