Standard & Poor’s lowers New Jersey credit rating
SEPTEMBER 10, 2014, 12:15 PM LAST UPDATED: WEDNESDAY, SEPTEMBER 10, 2014, 6:00 PM
BY JOHN REITMEYER
STATE HO– USE BUREAU
THE RECORD
Another Wall Street ratings agency has downgraded New Jersey’s credit rating as a response to Governor Christie’s decision earlier this year to cut funding for the public employee pension system.
Standard & Poor’s said in an announcement released Wednesday that the lowering of New Jersey’s credit rating by one step to “A” is in response to recent contributions into the pension system that are well below what actuaries say is needed to keep the system solvent.
“The downgrade reflects our view that New Jersey will face increased long-term pressures in managing its long-term liabilities and that the revenue and expenditure misalignment will grow based on reduced funding for the state’s unfunded actuarial accrued liability,” said Standard & Poor’s credit analyst John Sugden.
– See more at: https://www.northjersey.com/news/standard-poor-s-lowers-new-jersey-credit-rating-1.1084904#sthash.G3QRWVz7.dpuf
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