China Fishery Group Ltd., the Hong Kong-based seafood supplier that has missed debt payments, failed to pay a coupon on its dollar bonds, according to Standard & Poor’s.
S&P cut its long-term corporate rating to D from SD, it said in a statement Monday. The score means the borrower is in default or in breach of obligations. China Fishery missed a semi-annual coupon payment on Jan. 30 on its 2019 notes and is unlikely to “meet any other debt obligations” as it must reserve cash to support fishing operations in Peru, according to S&P.
A company official declined to comment when reached by phone.
S&P said it does not expect China Fishery to make the coupon payment within the 30-day grace period. The bond dropped 0.8 cent on the dollar to 69.2 cents as of 3:46 p.m. in Hong Kong, down from last year’s high of 98.2 cent in June, according to prices compiled by Bloomberg.