On the financial health of U.S. cities...

Financial analyst Meredith Whitney sticks with her call many U.S. cities are insolvent. Whitney tells CNBC: 

There's been so much backroom political maneuvering to keep these cities from going bust...There's been every effort on the part of states to prevent really this tidal wave of defaults which is going to happen sooner or later. If people want to tell me 'you're wrong because this hasn't played out,' stay tuned.