Puerto Rico GDB President Says the PFC Did Not Default

By Robert Slavin Archived

Published August 19, 2015, 4:03 p.m. EDT

Updated April 04, 2017, 12:30 p.m. EDT

1 Min Read

The President of the Government Development Bank for Puerto Rico sent a letter to representatives saying that the P.R. Public Finance Corp. nonpayment on Aug. 1 was not a default.

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On Aug. 1 the PRPFC did not make 99% of $58 million interest and principal payment it had been scheduled to make.

Melba Acosta Febo wrote her letter in response to a letter from a law firm representing the PRPFC's two biggest bondholders: Oppenheimerfunds and Franklin Advisors.

Puerto Rico House of Representatives minority party Speaker Jenniffer González Col-n released the letter to The Bond Buyer Wednesday. González Col-n is a member of the opposition New Progressive Party.

Earlier this week González Col-n filed a law suit against the GDB and the Puerto Rican government asking for the court to order the release of documents showing the legal, tax and financial advice the two bodies have received concerning their debt.

Robert Slavin Archived

Reporter

Robert Slavin leads The Bond Buyer’s coverage of Puerto Rico, focusing on government finances and debt, and additionally contributes to the Markets... Read full bio

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