One day after the city of Chicago took a big hit to its credit rating, a leading bond-rating agency downgraded the Chicago Public Schools debt to “junk” status.
One of the nation’s bond rating agencies is out with another warning about the Chicago Public Schools system’s financial future.
Illinois, which already has one of the worst-in-the-nation credit ratings, was lowered even further on Wednesday by the Standard & Poor’s rating agency, citing the state’s failure to address its massive pension problems.
Moody’s lowered Illinois’ rating Friday by another notch, to A2. No other state has such a low rating from Moody’s.
Ratings agency Moody’s believes if the U.S. eliminates the debt ceiling, it would reduce the uncertainty amongst bond holders.
A published report indicates that the O’Hare expansion project might be hurting the city’s financial standing.