California Seeks to Sell $2 Billion in Bonds for Debt

Published on:
15 February 2012 at 04:44 a.m. ET

Written by: Mike Bevel –

http://www.insidearm.com/news/00039923-california-seeks-to-sell-2-billion-in-bon/

It’s not just consumers out there having a tough time with personal debt. Look at poor California, ironically called The Golden State: it’s set to offer $2 billion of general-obligation bonds on March 1: “the largest sale in four months by the most indebted U.S. state” according to a spokesman for Treasurer Bill Lockyer told Bloomberg Businessweek.

California hopes sales of the bond will allow it to pay back some debt it owes. The broader plan also involves sale of around $1 billion in short-term revenue-anticipation notes on February 22. The hope is, that billion will keep the state liquid while waiting to see how that $2 billion sale is going.

Other plans for California to gain better fiscal security in the long-term: eat-in several nights a week rather than take-out; institute a Family Game Night; sell fish from the San Francisco Aquarium on eBay.