"The Kamakura troubled company index remains at moderately high levels, indicating that we have passed the safest part of the credit cycle," said Warren Sherman, Kamakura President and Chief Operating Officer. "The number of companies with default probabilities between 1% and 5% improved to 8.4% of the universe in June from 9.6% the previous month. Companies with default probabilities between 5 and 10% also improved to 2.1% of the universe. Companies with default probabilities between 10% and 20% were down 0.2% to 1.5% of the universe. The riskiest firms in the universe, those with default probabilities over 20%, increased 0.1% to 2.3% of the universe in June."