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Thanks to Illinois, California No Longer Has the Worst Credit Rating in the Nation, According to Moody's
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Go California! We are #49!Thanks to those bums in Illinois, California is no longer the state with the worst credit rating in the nation—a position we have held since 2009. Moody's Investors Service penalized Illinois with an A2 rating, which is even worse than our A1. Illinois was penalized for having unresolved pension liabilities and delayed payments, according to the Sacramento Bee.
It's still a little too early to celebrate our #49 ranking, however. Standard & Poor's and Fitch Ratings both rank the Golden State dead last.
But our move of last place along with Governor Jerry Brown's on-time budget last year have given public officials a reason for cautious optimism. Tom Dresslar, spokesman for state Treasurer Bill Lockyer, told the Bee this:
"It's not exactly cause to throw confetti from the top floor of our office here, but I think we can take heart from fact that California's credit standing in the market unquestionably has improved in the last year. California cash borrowing notes received higher ratings last year, and all three of the major agencies have expressed more positive views about our credit worthiness."
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