FACTBOX-Timeline of events in Alabama's Jefferson County

Feb 26 (Reuters) - Alabama's Jefferson County is fighting
to stave off what would be the largest municipal bankruptcy in
U.S. history over a multibillion-dollar debt it accumulated as
it upgraded its sewer system earlier this decade.

Following is a timeline of major events related to the
county's debt:

Feb 26, 2010 - A federal judge sentenced investment banker
William Blount and lobbyist Al LaPierre to four-year prison
terms for corrupt bond deals related to the debt.

Jan 19 - William Bell elected Birmingham mayor after the
previous Mayor Larry Langford was convicted of corruption.

Nov 13, 2009 - Jefferson County sues JPMorgan Securities
and JPMorgan Chase (JPM.N) for fraud over its debt, as well as
Langford and other officials.

Nov 4 - The bank reaches agreement with the U.S. Securities
and Exchange Commission over a $720 million settlement in an
unlawful payment scheme in the county's sewer bond financing.

Oct 28 - A federal jury finds Langford guilty of 60 counts
of corruption relating to his term as president of the county
commission and the bonds swaps that led to its debt.

Sept 8 - The county votes to extend a forbearance agreement
with creditors on a $105 million portion of its debt. It is the
latest in a series of such agreements.

Aug 18 - Blount, co-accused with Langford, pleads guilty.
Al LaPierre pleads guilty in July.

Aug 14 - Alabama legislators approve an occupational tax
for the county.

Aug 3 - County lays off 1,000 workers temporarily because
of a separate, short-term financing crisis.

May 15 - State legislators fail to pass a county sales and
occupational tax, heaping pressure on its finances.

Feb 2009 - Two "special masters" appointed by a district
judge produce a report saying that, barring government
intervention, sewer rates must rise dramatically to cover debt
repayments.

Aug 2008 - Alabama Governor Bob Riley takes a lead in debt
negotiations on the county's behalf.

2008 - Talks begin with creditors to restructure the debt
and reduce service repayments. One focus is whether to raise
water rates.

April 2008 - Moody's Investor Service downgrades a rating
on part of the county's debt to seven notches into "junk"
status.

Feb, 2008 - Ratings agencies downgrade county debt to junk,
causing a crisis as interest rates on the debt spiral.

2007 - Interest rates soar on the county's variable rate
auction swaps, in part due to a national crisis in the mortgage
lending sector. County cannot cover its debt service payments.

2002-2007 The county commission under its president,
Langford, refinances debts on the advice of consultants through
interest rate, auction rate and other bond swaps.

Late 1990s - The county incurs huge debts as it upgrades
the system and water rates soar as a result.

1996 - The county is required to start upgrading its sewer
system to comply with the federal Clean Water Act.
(Writing by Matthew Bigg, Editing by Tom Brown and Dan
Grebler)