from bgdailynews.....
"The United States isn’t the only government that’s had its credit rating lowered. Two agencies also recently downgraded Kentucky’s bond rating.
In reducing the commonwealth’s rating, Moody’s Investors Service pointed to two major problems: too much debt and underfunded public pensions.
Enter the latest news that in addition to Kentucky’s current $31 billion worth of unfunded pension liabilities for government retirees, the commonwealth’s pension-fund stocks are taking a beating on Wall Street, losing $500 million since July 1.
While that may not be as much in terms of actual dollars as some other states (California’s fund lost $18 billion during the same time period), it’s still a high percentage (5.43 percent of Kentucky’s fund vs. California’s 7.5 percent) and should serve as yet another wake-up call for Frankfort to tackle what longtime Rep. Mike Cherry, D-Princeton, called “a tough subject” in a recent CN/2 interview"............READ MORE
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