CHICAGO - Moody's Investors' Service has placed the ratings of five southeastern Wisconsin school districts on watch for possible downgrade due to concerns over their financial exposure stemming from investments in a complex transaction involving collateralized debt obligations and a credit default swap.

The districts - Kenosha Unified School District, Kimberly Area School District, Waukesha School District, West Allis/West Milwaukee School District, and Whitefish Bay School District - collectively invested about $200 million in the transaction that was tied to funding their other post-employment benefits. They now estimate the value has dropped by at least $150 million.

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