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State Pension Systems Planning to Sell Assets
SPRINGFIELD, Ill. (AP) -- Illinois' tight budget has left the five state funded pension systems faced with selling assets to pay for retiree pension benefits.

Dave Urbanek is spokesman for the Teachers' Retirement System, which pays pensions for teachers outside the city of Chicago. He says it's always a concern when a system sells assets because it reduces the amount of money in the portfolio.

TRS is potentially looking at a big asset sale this year _ as much as $3 billion out of a fund balance of about $33 billion. TRS expects to liquidate about $250 million in assets each month until the state delivers on its share of this year's pension obligation.

The General Assembly didn't agree on pension funding last spring and isn't back in session until after the Nov. 2 elections. Gov. Pat Quinn has said the state will meet its obligations this year.

(Copyright 2010 by The Associated Press. All Rights Reserved.)
08 27 10 by Newsroom
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