FirstBank Puerto Rico continues to experience increased credit deterioration resulting in net operating losses (as of first-quarter 2010) and therefore significant pressure on capital ratios. We are lowering our counterparty credit rating on FirstBank Puerto Rico to 'CCC+' from 'B' to reflect regulatory risks and the bank's delay in successfully executing initiatives to bolster capital, and removing it from CreditWatch. The negative outlook reflects the ongoing poor economy in Puerto Rico and, in our opinion, the bank's limited flexibility in raising capital. TORONTO (Standard&Poor's) June 4, 2010--Standard&Poor's Ratings Services today said it lowered its long-term counterparty rating on FirstBank Puerto Rico to 'CCC+' from 'B'. At the same time, we removed the rating from CreditWatch with
