The City of Fresno's precarious financial position is leading to more repercussions in the investment community. On Friday, the firm Standard & Poor's downgraded the city's credit rating from "A" to "BBB." Last month, the two other major credit ratings agencies, Fitch and Moody's issued similar downgrades.
The rating of "BBB" is Standard & Poor's next to lowest "investment grade" rating. The firm also gave Fresno's financial outlook a "negative" rating, meaning future downgrades are possible.