The Traderszone Network

Published in TZ Latest News 12 May, 2015 by The TZ Newswire Staff

Moody’s slices Chicago debt rating to junk amid swelling pension burden

Moody’s Investors Service on Tuesday pushed Chicago’s credit rating into the “junk” category, citing limited options for easing the city’s growing unfunded pension liability in the wake of a court ruling last week. The downgrade of ratings on Chicago’s $8.1 billion of general obligation and some city revenue debt could trigger up to $2.2 billion in accelerated payments on that debt, according to Moody’s.