"The risk of default on municipal bonds in California is rising," says Moody's MD Robert...

|By:, SA News Editor

"The risk of default on municipal bonds in California is rising," says Moody's MD Robert Burtter, lead author of a detailed look into city finances there. "Across-the-board rating revisions are possible ... in the next month of two." "Bankruptcy as a tool to extract bondholder concessions as part of a budgetary solution is a significant new risk for bondholders," says another report author.