California Likely to Issue More IOUs ; Moody’s

California’s ongoing budget woes makes it more likely that the state will issue registered warrants, but that should not negatively impact the local government’s credit quality, Moody’s (MCO) said Friday. “The possibility of a temporary interruption in cash flow to local government issuers from the state is not likely to create cash flow problems for them despite the fact that warrants could weaken cash flow at a time when most are already struggling with weak or declining revenue,” Moody’s said in a report titled “California’s IOUs Unlikely to Harm Local Government Credit.” – iMarketNews

Disclaimer: This page contains affiliate links. If you choose to make a purchase after clicking a link, we may receive a commission at no additional cost to you. Thank you for your support!

Be the first to comment

Leave a Reply

Your email address will not be published.


This site uses Akismet to reduce spam. Learn how your comment data is processed.