White House: Deficit will hit $427 billion

The White House will project that this year's federal deficit will hit $427 billion, a senior administration official said Tuesday, a record partly driven by wars in Iraq and Afghanistan.
The official, among three who briefed reporters on condition of anonymity, said the estimate was a conservative one that assumed some higher spending than other analysts use. Last February, the White House projected that the 2004 shortfall would hit $521 billion, only to see it come in at $412 billion.