Newton, Mass.-based REIT Office Properties Income Trust (OPI) announced it is offering its existing 2026, 2027, and 2031 noteholders the option to exchange their outstanding senior unsecured notes for up to $175 million of new senior priority guaranteed unsecured notes due 2030. The exchange would result in debtholders receiving below the par value of the existing notes. We view the proposed transaction as a distressed exchange because the investors would receive less than they were originally promised. If completed, we would treat this transaction as tantamount to a default. We lowered our issuer credit rating on OPI to 'CC' from 'CCC' and our issue-level ratings on its senior unsecured notes due 2026, 2027 and 2031, which are part of the
