Jun. 25--THE TROUBLED MASSACHUSETTS TURNPIKE AUTHORITY -- just days away from a potential $100 million toll hike -- could face a $268 million lump-sum payment after the bond rating for the agency's insurer was downgraded yesterday.

The downgrade to just above "junk" status by Standard & Poor's Rating Services means UBS, which loaned the Pike $29 million, can demand a $268 million payment as part of a risky bond agreement.

The Swiss financial firm tried to demand the payment back in January, but eventually backed off because the credit rating of the Pike's insurer, Ambac Financial Group, hadn't dropped far enough.

"We have been negotiating with UBS to reach an agreement that is acceptable to the commonwealth, and we will continue to do so," said Cyndi Roy, spokeswoman for Gov. Deval Patrick's administration and finance department.

The one-time payment would be a serious blow to the already shaky fiscal balance at the Pike.

It also means an unpopular toll hike -- thought to be staved off by a 25 percent sales tax increase -- may still be necessary. The toll hike is set to go into effect July 1.

Pike officials yesterday moved a board meeting scheduled for today to Monday in Framingham.

Transportation Secretary James Aloisi, who is chairman of the Turnpike board, said it was "prudent" to postpone the meeting to give the governor time to weigh the transportation reform bill and state budget. Patrick has threatened to veto the sales tax hike unless lawmakers send him three reform bills, including the transportation overhaul.

Herald wire services contributed to this report.

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