OppenheimerFunds, Franklin Say Puerto Rico Must Pay Bonds
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OppenheimerFunds Inc. and Franklin Advisers Inc. said Puerto Rico is required to make a full payment on Public Finance Corp. bonds after the agency defaulted this week.
The corporation paid just $628,000 of a $58 million debt-service payment due Monday because the legislature failed to appropriate the funds. The two firms, which hold some of the defaulted debt, said in a letter to Puerto Rico officials released Thursday that the commonwealth is obligated to pay investors.