Advertising

The Seattle Times Company

NWjobs | NWautos | NWhomes | NWsource | Free Classifieds | seattletimes.com

The Seattle Times

Business / Technology


Our network sites seattletimes.com | Advanced

Originally published Sunday, March 16, 2008 at 12:00 AM

E-mail article     Print view

Pension burden grows for states

The health of public pension systems has declined sharply since 2000. In 2006, the most recent period with comparable data, the average...

The health of public pension systems has declined sharply since 2000.

In 2006, the most recent period with comparable data, the average state reported pension assets of $8.10 for every $10 in expected liabilities.

Six years earlier, the average state pension fund had more assets than expected liabilities.

According to Standard & Poor's, recent market volatility could destabilize these funds.

Managers of state pension funds assume they can grow their assets each year through investments. When they can't, their funding ratios can fall, increasing the risk the plans won't be able to pay the pensions of public employees and teachers.

The world's stock markets lost $5.2 trillion in January alone.

"If January sets the pace for 2008, investment returns will be a significant challenge to sustained improvement in funded ratios," S&P analysts wrote.

West Virginia and Rhode Island have the lowest ratios of assets to expected liabilities.

Of the 10 states with the worst funding ratios, the largest unfunded liabilities are Illinois ($32.4 billion) and Connecticut ($14.8 billion).

Copyright © 2008 The Seattle Times Company

More Business & Technology headlines...

E-mail article Print view      Share:    Digg     Newsvine

advertising

An 802.11n upgrade could make a big difference

Retailers opening doors on Thanksgiving Day

Google makes concessions on digital book deal

Critics want to block Comcast-NBC deal

Google submits revised book settlement

Advertising

Video

Opening day at Crystal Mountain
Skiers crowded the slopes at Crystal Mountain for one of the resort's earliest openings.

Video shows violent arrest by SPD
Fort Lewis Memorial
Highlights: Ken Auletta talks about "Googled"
Seattle International Cabaret Festival
Ken Auletta talks about "Googled"
Medal of Honor
Pelosi answers questions at Swedish Medical Center
Pelosi speaks at Swedish Medical Center
"Pistol" Pete Ryan

Marketplace

nwautos

2009's most fuel-efficient sedansnew
Choosing a new sedan? Weigh the impact of your choice on your wallet and on the planet.
Post a comment

Open Houses

Find this weekend's open house listings.
Or search by location:

 
Most read
Most commented
Most e-mailed
 
 
Advertising