S&P cuts Trident, notes to D

Standard & Poor's said it lowered its long-term corporate credit rating on Trident Resources Corp. to D from CCC-.

At the same time, the agency lowered its issue-level rating on Trident Exploration Corp.'s senior unsecured notes to D from CCC. The 2 recovery rating is unchanged, indicating an expectation of substantial (70%-90%; in the higher end of the range) recovery in a default scenario.

"The downgrade follows Trident's decision not to pay the interest on its rated senior unsecured debt, which was due on April 13, 2016," S&P credit analyst Michelle Dathorne said in a news release.

The agency believes the company will not make this payment before the 30-day grace period ends. It expects Trident will likely restructure its debt under a plan of arrangement.

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