California: Teetering closer to junk

[Bindare_Dundat]

Fitch Ratings downgrades the state's bond rating to BBB, just above junk status. Budget impasse continues to rile the state's financial standing.

NEW YORK (CNNMoney.com) -- California's bond rating is far from golden.

Citing the Golden State's ongoing budget upheaval, Fitch Ratings on Monday downgraded California's long-term debt to BBB, one category above junk bond status. The next step is BBB- before the state's bonds would be considered speculative debt.

Fitch also maintained its so-called negative outlook on California. "nstitutional gridlock could persist, further aggravating the state's already severe economic, revenue and liquidity challenges," Fitch wrote.

http://money.cnn.com/2009/07/06/news/economy/California_bonds_almost_at_junk/index.htm?postversion=2009070619

[BM OUT]

Way to go Arnold.Now,all you need to do is hire Colin Powell and the state will be fine.THATS what republican moderation gets you.Compare Clifornia to Texas.California has a Powell republican running it,Texas has a conservative running it.Enough said.

[Hereford]

It doesnt matter what Arnold is. We have democrats running the senate and assembly. As long as you have dems running things, there will be absolutly no fiscal responsibility.