The Chattanooga Times-Free Press
is reporting that some Tennessee pension investments have taken a beating in the historic economic gyrations that have shaken Wall Street in recent days, state officials said.
Between June 30 and Friday, the state pension fund may have lost as much as $197.6 million on stocks and bonds it held in four companies hit hardest by the crisis, officials said. Losses could be less depending on a variety of factors, they said.
However, officials said the estimated $30 billion Tennessee Consolidated Retirement System remains solid and able to meet its promises to retirees and members.
\"We\'re like most major investors; we\'re going to have positions in virtually all the companies that are out there,\" state Treasurer Dale Sims said of the state\'s holdings.
At one point last week, the Dow Jones average had dropped 954 points but had recouped most of that by week\'s end.
The affected companies are investment bank Lehman Brothers, which sought bankruptcy protection Monday; insurer American International Group Inc., which was bailed out by the Federal Reserve last week with an $85 billion loan; and mortgage giants Fannie Mae and Freddie Mac, which have been taken over by the federal government. CLICK HERE
for the full report.