SYDNEY (Reuters) - Ratings agency Moody's cut Greece's debt HAS ratings by Three notches to Ca on Monday, leaving it just one notch Above What Is Considered default, Said and the chance of a Default is now "virtually 100 percent."
The rating agency Warned That last week's bailout package by euro zone leaders Agreed Will Make It Easier for Greece to Reduce STIs debt, the country still faced intended medium-term solvency challenges and significant implementation Risks.
"The U.S. Program Announced Along With the Institute of International Finance's statement Implies That the probability of a distressed exchange, and hence a default, the Greek government bonds IS Virtually 100 percent," Said the agency in a statement.
"(Greece's) stock of debt Will Be still well in excess of 100 percent of GDP for Many Years and It Will still face very significant implementation and Tax Risks to Economic Reform," it added payday loans for bad credit.
The ratings agency wary That IS the euro zone bailout package sets a negative precedent for future investors on Restructuring.
"The support package sets a precedent for future financial restructurings Should the euro area sovereign of Another've Become Problematic as Those of Greece," Moody's said.
According To the ratings agency bonds rated Ca are speculative and are Highly Likely in, or very near, default, with Some prospect of recovery of principal and interest.
The outlook Developing IS.
Standard & Poor's and Fitch Downgraded Greece Already Have to CCC, one notch Above Moody's.
(Reporting by Cecile Lefort; Editing by Balazs Koranyi)
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