S&P downgrades Illinois to A-minus, cites pension inaction

CHICAGO Fri Jan 25, 2013 1:56pm EST

CHICAGO Jan 25 (Reuters) - Standard & Poor's Ratings Services downgraded Illinois' credit rating by one notch to A-minus on Friday, citing the state's lack of action on reforms to address its huge unfunded public pension liability.

The rating agency also placed a negative outlook on the lower rating, saying legislative consensus and action will be needed to tackle a range of challenges, including pensions.