(Bloomberg) -- Chicago had its credit outlook raised by FitchRatings to stable because of the city’s work to shore up itsretirement system and avert insolvency for the pensions that don’t have enough moneyto pay the benefits promised.

“The outlook revision to stable from negative reflects therecently enacted material increase in funding to the city’spensions,” Fitch analysts led by Arlene Bohner said in a report.“The chronic underfunding of pensions over many years has resultedin a high and growing long-term liability burden and constrainedexpenditure cutting flexibility.”

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