No alarm bells at Moody’s over new pension liabilityApril 15th, 2011 at 10:34 am by Ted Nesi under Nesi's Notes
Here’s some relative good news about this week’s big jump in Rhode Island’s estimate of its unfunded pension liabilities – at least one of the big three ratings agencies isn’t overly concerned, Bloomberg News reports:
The higher pension liability doesn’t necessarily threaten the state’s credit rating, said Marcia Van Wagner, a Moody’s Investors Service analyst in New York. She said Rhode Island has been making its annual pension contributions, unlike some states that have deferred payments amid fiscal stress.
“We try to look at this in a balanced way that takes into account the state’s willingness to address its obligations as well as balance its obligations against other requirements in its budget,” Van Wagner said.
(Thank you to the savvy reader who sent the article my way.)