Categorized | Headlines

IBD | Obama’s Illinois Downgrade Makes It America’s Greece





Inability or unwillingness to fix the state’s hemorrhaging pension system and  curb union power has led a major credit rating service to downgrade the Land of Lincoln’s rating to  the lowest in the nation.

On Friday, the bond rating agency Standard & Poor’s downgraded the state’s  credit level again, to A-, putting Illinois’ on par with California. No,  actually below California, for S&P gives California a positive outlook.

Illinois’ fragile overall financial status netted it a negative outlook,  putting it behind California overall. The ratings came out now because Illinois  plans to issue $500 million in bonds within days.

Moody’s already ranks Illinois 50th among the states, and Fitch ranks the  state 49th but warns of a negative watch.

Moody’s A2 ranking places it even with Botswana, a southern African nation  that is 70% desert, in what is the latest fallout over the $96.8 billion  unfunded debt to five state pension systems.

More.



Comment Policy: The Editors reserve the right to delete any comments which in their sole discretion are deemed false or misleading, profane, pornographic, defamatory, harassment, name calling, libelous, threatening, or otherwise inappropriate. Additionally, the Editors reserve the right to ban any registered poster who, in their sole discretion, violates the terms of use. Do not post any information about yourself reasonably construed as private or confidential. Conservatives4Palin and its contributors are not liable if users allow others to contact them offsite.

Open Thread

Governor Palin’s Tweets