CHICAGO— Moody’s Investors Service socked $11.5 billion of Chicago general obligation, sales tax-backed, and water and sewer revenue bonds with multi-notch downgrades citing mounting pension woes and warning of a potential further hit because a dramatic contribution spike looms.

Moody’s cut $7.7 billion of GO debt and $566 million of sales-tax backed debt three notches to A3 from Aa3.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.