Fitch expectedly downgrades Eurobonds of Ukreximbank to “C”

Fitch Ratings downgraded the long-term foreign currency rating of State Ukreximbank’s (EXIUMK) senior debt from ‘CC’ to ‘C’, according to the agency’s press release of March 31. The rating action was driven by the bank’s announcement on March 27 requesting the holders of its USD 750 mln Eurobond to extend its maturity by three months from Apr. 27. Fitch analysts consider that “default by the bank on its external debt obligations is now inevitable”. That is clearly an expected move after Ukreximbank requested to delay the repayment of its April Eurobond to buy some time for talks on deeper restructuring.