S&P downgrades Greece further into junk territory, cites 'likely' default without debt deal

NEW YORK, N.Y. – Standard & Poor’s has downgraded Greece’s credit rating one notch further into junk territory, saying it’s likely the country will default on its commercial debt within a year if it can’t strike a deal with its creditors.

The rating agency said Wednesday Greece has shown it is giving higher priority to pensions and other domestic spending than making debt payments on time.

It lowered its rating to “CCC” from “CCC+” with a “negative” outlook.