Zero Hedge posted an interesting response from the Illinois Teacherâs Retirement System that basically stated their dislike for Tyler Durdenâs characterization of a âdeath spiralâ in relation to their need to sell off assets (see Illinois Teachersâ Retirement System Enters The Death Spiral: AIG Wannabeâs Go-For-Broke Strategy Fails As Pension Fund Begins Liquidations). The response had a very cogent and common sense reason for the asset sales, even thought they occurred at a very inopportune time. See TRS Responds to âDeath Spiralâ Comments. We at the BoomBustBlog commented on the Illinois TRS on August 23rd: Is Illinois Worse Off Than Greece⦠In reviewing both our comments and the responses from TRS, it begs the question as to why TRS officials failed to address some of the more salient points in our missive. To wit, letâs excerpt a portion from our note, linked above: Illinois Budget Crisis Draining State Services: Bloomberg State retirement liabilities are near $130 billion, Illinois holds the countryâs largest pension and health care funding gaps Pension debt is $90 billion, and programs are unfunded to the tune of $54 billion The stateâs unpaid bills have risen by $1 billion in the past year Chicago Downgrade Raises Borrowing Costs Amid $164 Million Sale: Bloomberg Chicago is planning a multibillion dollar education capital plan, which it will debt finance Chicago has continued to thin out its cash reserves, and when faced with firing 1,200 public school employees, it instead chose to let the good times roll (party like its 2005) Recent credit ratings downgrades may have raised the debt financing cost by 40% ..... http://www.zerohedge.com/article/lo...fund-spat-we-still-have-some-unanswered-quest