June 2 New Jersey could be downgraded again
because of its growing budgetary imbalance and underfunded
public pension, Standard & Poor's Ratings Services warned on
S&P had already cut the state's rating to 'A+' in April.
Wall Street's two other main credit rating agencies soon
followed in slicing the state to a single-A rating. That put
New Jersey among the three lowest-rated states, along with
California and Illinois.
S&P will resolve its negative creditwatch in 60 to 90 days
following the outcome of state budget deliberations, it said on
Monday. New Jersey Governor Chris Christie said on May 20 that
he plans to slash pension contributions after having to reduce
revenue projections by at least $2.7 billion through fiscal
(Reporting by Hilary Russ; Editing by Dan Grebler)