ALJAZEERA: Detroit has reached a tentative deal to pay a key creditor 26 cents on the dollar and offer it valuable leases, a move that that could clear the biggest hurdle in the city’s plan to reduce its debts and emerge from bankruptcy protection.
A joint court filing on Tuesday evening said Detroit and the bond insurer Syncora Guarantee “have reached an agreement in principle” to settle the company’s $400 million claim in the nation’s largest-ever municipal bankruptcy case…
A joint court filing on Tuesday evening said Detroit and the bond insurer Syncora Guarantee “have reached an agreement in principle” to settle the company’s $400 million claim in the nation’s largest-ever municipal bankruptcy case… (more)
EDITOR: This was same creditor as held the debt for the City of Harrisburg. But Governor Tom Corbett would not allow the Harrisburg seek bankruptcy court protection and forced the population of Harrisburg to ultimately pay just about every penny of every dollar.
We expect the creditors will show their appreciation in the form of campaign contributions.
