Bangkok--25 Jul--Standard & Poor's Only one default--U.K.-based home-improvement retailer Focus DIY (Finance) PLC--was recorded among global corporates rated by Standard & Poor's Ratings Services in June, according to an article published on July 20, 2007. The article, which is titled "Global Bond Markets' Weakest Links And Monthly Default Rates," says that this brings the total to 11 defaults through the first half of 2007. These affected rated debt worth about US$2.04 billion. The 12-month trailing global corporate speculative-grade bond default rate declined to 1.12% in June from 1.20% in May, remaining near record lows. The default rate has been below its long-term (1981-2006) average of 4.48% for 41 consecutive months. By region, the speculative-grade default rates in June 2007 hit a 25-year low of 1.22% in the U.S., 2.31% in Europe, and 0.39% in emerging markets. "Even though market volatility and downside risks to credit quality have increased, defaults are likely to remain suppressed in the very near term," said Diane Vazza. Head of Standard & Poor's Global Fixed Income Research Group. "This is because of abundant liquidity and generous financing provisions." We have revised our forecast for the U.S. speculative-grade default rate down to 1.4% by year-end 2007 and 2.2% by the second quarter of 2008. The report is available to subscribers of RatingsDirect, the real-time Web-based source for Standard & Poor's credit ratings, research, and risk analysis, at www.ratingsdirect.com. If you are not a RatingsDirect subscriber, you may purchase a copy of the report by calling (1) 212-438-9823 or sending an e-mail to [email protected]. Ratings information can also be found on Standard & Poor's public Web site at www.standardandpoors.com; under Credit Ratings in the left navigation bar, select Find a Rating, then Credit Ratings Search. Members of the media may request a copy of this report by contacting the media representative provided. Media Contact: Mimi Barker, New York (1) 212-438-5054, [email protected] Analyst Contact: Diane Vazza, New York (1) 212-438-2760