WAS “AA+;” NOW “AA”
by Sharon Rondeau
(Apr. 8, 2012) — On Thursday, Egan-Jones Ratings Company downgraded the U.S. credit rating from “AA+” to “AA.” Egan-Jones describes itself as “small, nimble, and very proud of our history of accuracy and value-added performance.”
Fox Business describes Egan-Jones as “among the major rating firms.” The company’s president, Sean Egan, reportedly said that there is “no end in sight to the increasing deficit” of the United States. Egan commented that the “rapid rise in debt to GDP” is a sign that the “underlying credit quality” of the U.S. is declining.
During an interview, a reporter for Bloomberg stated that Egan-Jones does not supply its findings to the general public. Egan stated that his company is “independent” because it is “paid by institutional investors.”
In mid-February, Egan stated that the credit rating of the U.S. was declining following a credit downgrade from AAA to AA+ by major ratings companies last August. Egan stated that his company is “true to our investors.”
The credit rating reduction was announced the “worst weekly drop” in stocks during a single week this year.
Sharon Rondeau has operated The Post & Email since April 2010, focusing on the Obama birth certificate investigation and other government corruption news. She has reported prolifically on constitutional violations within Tennessee’s prison and judicial systems.