NEW YORK (Standard & Poor's) Sept. 27, 2006--Standard & Poor's Ratings Services said today that the 2004 10-K filing by First BanCorp, the holding company for FirstBank Puerto Rico (FirstBank; BB+/Watch Neg/--), will not affect the ratings on FirstBank. While the filing brings FirstBank closer to becoming current on financial statements, management does not expect to become completely current until second-quarter 2007. The cumulative accounting adjustments from 2004 to 2000 decreased earnings by an immaterial $17.1 million. As we expected, the restatement resulted in numerous material weaknesses in internal controls. Surprisingly, FirstBank did not agree with its public accounting firm regarding a material weakness related to an ineffective audit committee. Besides not having current financial statements, FirstBank is being formally
