Thread: California Next To Go Bankrupt?

California will soon attempt to find buyers for $4 billion worth of its debt.
(Getty Images)

Next Bailout Candidates: States?
October 16, 2008 | From theTrumpet.com
California is about to find out if it will be able to find a lender willing to take the risk.

The Wall Street financial crisis is leaving investors scrambling for cash. That means there is less money available to be lent out. Those who rely on borrowed money to finance operating expenditures may be in for a painful dose of reality: In times of crisis, debt reliance can be catastrophic.

The biggest state in the union may be about to realize just that.

California will find out later this week if it is able to borrow several billion dollars from investors. If it is unable to do so, the state faces an uncertain future. Governor Arnold Schwarzenegger has already warned U.S. Treasury Secretary Hank Paulson that the state may need to seek emergency federal funding if it is unable to access traditional debt markets. California needs to borrow about $7 billion before the end of the month, but because of current conditions it will first try to borrow only $4 billion.

“Given market conditions, we concluded it was best to go only for $4 billion immediately, and try for $3 billion more in a few weeks,â€

Hmmmmm.....and what do they plan to do about expenditures on illegal aliens?

Originally Posted by azwreath

Hmmmmm.....and what do they plan to do about expenditures on illegal aliens?

Well what do you think? Our Mexican run legislature wants to increase spending on illegal aliens.

Originally Posted by Bowman

Originally Posted by azwreath

Hmmmmm.....and what do they plan to do about expenditures on illegal aliens?

Well what do you think? Our Mexican run legislature wants to increase spending on illegal aliens.

Oh, I'm quite sure they do want to increase spending on IAs.

I just hope and pray, for all of you still living there, that the next step is not to have Mexico turn up as the "investor" they are shopping for.

The prospect should seriously alarm everyone because it would be just what is required for Mexico to "officially" lay claim to California.

I must say, I do admire you, and every other American, who are still living there and trying to save your state. You're all much braver than I would be.

Maybe Arnie should raise taxes on anyone earning over $250k a year? Hit overpaid celebs, CEO's & millionaires up for 40-45%. Gotta redistribute that wealth, ya know?

Originally Posted by miguelina

Maybe Arnie should raise taxes on anyone earning over $250k a year? Hit overpaid celebs, CEO's & millionaires up for 40-45%. Gotta redistribute that wealth, ya know?

Great idea Miguelina.....I like it!!

Unfortunately though, I think that by redistributing the wealth they mean that the wealth of "mere peasants and commoners" should be redistributed.....to the wealthy.

LOL......I hope they aren't counting on wringing much out of me because there's nothing there left to wring

Originally Posted by azwreath

I must say, I do admire you, and every other American, who are still living there and trying to save your state. You're all much braver than I would be.

Well you have to outsmart these traitors at their game, they leave loopholes you can take advantage of.

Originally Posted by Bowman

Originally Posted by azwreath

I must say, I do admire you, and every other American, who are still living there and trying to save your state. You're all much braver than I would be.

Well you have to outsmart these traitors at their game, they leave loopholes you can take advantage of.

Thanks AZ. Us Californians usually get "I wish California would break off an float away" ... among other things....It kind of hurts that my state raises so much ire among some here at ALIAPAC, but we don't want the IA's here anymore than any other state would. We just happen to be at a geographic disadvantage.

To tell the honest truth, I'd be happy to live almost anwhere in the US except here, but since a move is not possible at this time, I have to stay here and fight. Come to think of it, I'd be fighting even if I DID move. What ever happens here in CA will spread into a back yard near you soon anyway. CA is a good "measuring stick" for what could and likely will happen in any state.

Originally Posted by Bowman

Originally Posted by azwreath

I must say, I do admire you, and every other American, who are still living there and trying to save your state. You're all much braver than I would be.

Well you have to outsmart these traitors at their game, they leave loopholes you can take advantage of.

Rock on Bowman!!! Rev up that truck and drive on through those loopholes