States declare bankruptcy

[AzariLoveIran]

[Colonel Sun]

[AzariLoveIran]

[Colonel Sun]

[Yukon Cornelius]

Isn't Holly shit what passes through Cardinalis cardinalis?

[Marcus]

A cousin gets a schoolteacher's pension from a Detroit suburb; her husband a police officer's pension from the city of Detroit. Might they be affected?

[Yukon Cornelius]

Also, Ibrahim -- check Ritholtz's blog this morning, his word on the pensioners is "royally fucked."

[Tinker]

I saw this. I am going to watch it with a very interested eye to see how my friends who got into office with a lot of Union support reconcile these problems.

[Najar]

There will be negotiations to cut down the payment , as in any bankruptcy. Since states can legislate rules , they may cut down payment to multiple payment receipts or cap the amount. There are several cases in NY where the state employee retires early takes up another job and collects multiple pensions. There are also cases where cops are allowed to book lots of overtime in their last year to beef-up the pension basis.

http://gothamist.com/2010/06/16/states_ ... d_make.php" onclick="window.open(this.href);return false;

[Colonel Sun]

What impact will this have on the very large US municipal bond market?

[AzariLoveIran]

[Tinker]

Bloomberg is going hard. He says if he doesn't get what he wants he'll lay off thousands of people to make up the shortfalls. He wants to reduce pensions and raise the retirement age.

[Alph]

[Colonel Sun]