bond rating


Illinois is preparing to hit the bond market even as the budget impasse has dimmed analysts' views of the state's credit worthiness.

Just as if your credit score declined, Illinois' lower rating makes borrowing more expensive.

Republican Gov. Bruce Rauner says he's still going to try to a half a billion dollars worth of bonds Thursday to pay for roads and bridges.

flickr/401(K) 2012

A new analysis found that Illinois lost out on millions of dollars when it sold bonds last week.

Martin Luby, with the University of Illinois’ Institute of Government and Public Affairs, compared the recent bond sale to one in 2006, when Illinois had a much better credit rating. This week for Past Due, Jamey Dunn talked with Luby about his report. 


  A new analysis found that Illinois lost out on millions of dollars when it sold bonds last week. 

  Guide to bond ratings

To show the relative standing of a bond within each category, Moody’s assigns a number of 1 through 3, with 1 being the highest and 3 being the lowest. S&P uses + and – signs.

The Rating Agencies

Nov 1, 2012

The three credit-rating agencies operate worldwide, measuring the credit-worthiness of government and corporate bonds. Their methods for rating bonds are slightly different. Moody's ratings consider the expected losses in case a company or government defaults. Standard & Poor's and Fitch look at how likely it is that a default will occur.

What's a Bond Rating Worth?

Nov 1, 2012

At the very least, downgrades lead to negative press; at the worst, taxpayers pay a price.

When it comes to Illinois’ bond rating, what’s past is prologue.

Joan Walters was director of the Bureau of the Budget under Republican Gov. Jim Edgar, whose administration is fondly thought of by some at the Statehouse as the last truly fiscally responsible gubernatorial administration.