Villages in Norway and the Credit Crunch

How can four townships in Norway be affected by the credit crunch? Good question, you can find the answer here. The story is filled with all the usual suspects, someone foisting an investment on them that the townships really didn't understand; leveraging their investment to goose returns; etc. Same story, different situation. The point is that the credit crisis has tentacles which reach virtually around the world. This would include apparently public school funds!