Fitch Eyes Shurgard Ratings

Fitch Ratings has placed the senior unsecured note and preferred stock ratings of Shurgard Storage Centers Inc. on Rating Watch Negative, citing the resignation of the real estate investment trust's independent auditor.The resignation of Deloitte & Touche LLP could delay the filing of Shurgard's financial statements beyond Nov. 29 and result in a technical default under the Seattle-based REIT's unsecured bond covenants, Fitch said. Shurgard would then have only 60 days, until Jan. 28, to cure the breached covenant and avoid a default. "It is likely that Shurgard, like other issuers who have been put in this situation, will need to seek waivers from its bondholders," the rating agency said. Fitch can be found on the Web at http://www.fitchratings.com.