California´s Credit Rating Avoids a Hit
California´s wobbly credit rating isn´t taking another hit from Wall Street.
Two credit rating firms, Standard and Poor´s and Fitch Ratings, say they don´t plan to further reduce the A ratings they gave California bonds last December when they downgraded the state´s creditworthiness because of its budget problems.
The announcements came a day after a third Wall Street firm, Moody´s Investors Service, lowered its ranking of California´s general obligation bonds from A1 to A2. That put California´s bonds among the lowest rated state bonds in the country and raised chances that the state will have to pay more in interest when it sells $900 million in school construction bonds on Thursday.