S&P and Fitch downgrade Jamaica on debt exchange

[Willi]

A default technically is when you dont pay back the principal. What is happening here is that they use moral suasion to vary the terms of the original debt contract.

Grounds for lowering ratings yes, but not automatic.

Read this:

http://jamaica-gleaner.com/latest/article.php?id=17177

[Skeng DX]

thats part of it...in finance, default occurs when a debtor has not met his or her legal obligations according to the debt contract[not just the principal] and will be unable to make the required payments on their debt obligations AS AGREED

... in this case the BOND agreement was ' violated '...hence a DEFAULT nuh matter how yuh spin it

[Bricktop]

It is a default because they did not negotiate terms with the bondholders....it was a unilateral restructuring...so once again...a debt exchange does not always equal a default...doh buss yuh likkle google brain now

[Assasin]

so where is the automotic downgrade? Usually a downgrade follows but it is not automatic, that is what Willi is telling you.

[Skeng DX]

why A Debt Exchange does not automatically equal a default you idiot?

[Skeng DX]

u get an automatic downgrade for 'default'...the exchange was/is

[Bricktop]

What is your major malfunction numbnuts? yuh cyaan read? that concludes the lesson for tonight grasshopper

[Skeng DX]

mi affi guh check if madness run in yuh madda/fadda side...cuz yuh touch bad...or abused HARD drugs at some point

[Skeng DX]

wasnt the original contract 'changed'?

[Bricktop]

Yuh need fi pay yuh tuition before semester start...cash ongly

[Skeng DX]

why these force smileys, i know u r depressed...CALM...was the original contract altered?

[Skeng DX]

nuh CRACK HEAD cyaa get mi money

[Bricktop]

I have already schooled you on why a Debt Exchange does not always equal a default...now guh sit in the corner wit Don2 and him dunce cap...try not to play footsie wit him

[Skeng DX]

answer mi nuh question crackhead ...was the original contract altered?
__________________

[Bricktop]

answer mi nuh question crackhead

what school yuh seh yuh attended? dem teach English Language?