Fitch Downgrades California Bond Rating -- And It May Get Worse!

from Marketwatch:
Fitch Ratings said late Friday it lowered its ratings outlook on the State of California to negative from stable. Fitch has an A long-term general obligation bond rating on the state. "The revision of the outlook to negative reflects growing concerns with the state's widening budget and cash flow deficits," Fitch said in a statement. "While there appears to be consensus for quick action by the legislature, should it be delayed or fail to materialize, further rating actions may occur."