CHICAGO - Fitch Ratings revised its outlook to stable from positive on the Chicago Board of Education as it entered the market yesterday with $558 million of new money.

The expectation of growing fiscal pressure facing Chicago Public Schools prompted the outlook revision, Fitch said. The district - the largest in Illinois - recently eliminated a $475 million shortfall in its $5.4 billion fiscal 2010 budget through a mix of tax increases, cuts, and federal stimulus funds. But spiking pension requirements and other costs will continue to pose significant challenges over the near term, analysts warned.

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