From Bloomberg's chart of the day, reflecting the massive lag in muni weakness compared to the compost heap that is the general economy.

Bloomberg had this to say:

This year, 16 municipal issuers have failed to make payments on $426 million in bonds. In 2008, 140 issuers defaulted on a record $7.6 billion.Among the latest to default: the Memphis Redbirds Foundation, which in 1998 sold $72 million in sports facility revenue bonds to help pay for a minor-league baseball franchise and a 14,000-seat stadium in downtown Memphis.Since 1999, issuers have defaulted on $24.13 billion in municipal bonds out of a total of $3.4 trillion issued, according to Thomson Reuters.

Good thing all those wraparound bond-insurance companies are alive and cracking... Oh wait, producer telling me... what's that... oh... really... hm.... well that's just not good now is it.