Luis Fortuno, the Ex-Governor of Puerto Rico, was invited to speak in front of the Boston Municipal Analysts Forum yesterday(3/13). Here are the highlights: PR’s economic outlook will remain grim for the near future. The gap in GDP growth between PR and the US is projected to grow from 2.7% to 5.5% by 2015 (US […]

Puerto Rico’s Mega-Issue: A Post-Mortem

After reviewing the POS and the preliminary price talk released this morning, we have the following observations: 1. The POS does a reasonably good job of listing all the potential risk scenarios, although we didn’t see anything that hasn’t been discussed at length before, by either ourselves or others. The GDB’s liquidity position is as […]

Legal Highlights in Puerto Rico’s “Draft POS” For Upcoming Bond Issue

Drop in Smoking Threatens Embattled Tobacco Bonds

PR Senate Approves Bond Issue

Detroit’s Bankruptcy: GM Redux?

As expected, PR GOs are staging a significant relief rally in the wake of the 2/18 investor webcast. According to Municipal Market Data, PR GO spreads vs AAA in 5 and 10 years have tightened by 115 BP in the last week alone (through 2/21).The 30 year range has also rallied, but more modestly, with […]

TXU/Energy Future Holdings Potential Bankruptcy Has Muni Implications According to Bloomberg, there are about $1.3 billion in TXU-backed munis still outstanding. Another “distressed” muni name to add to the list.

Puerto Rico’s Latest Investor Webcast: Early Takeaways