BRADENTON, Fla. – Bankrupt Jefferson County, Ala.’s lead attorney confirmed Tuesday that rising interest rates make it “almost inevitable” that the plan of adjustment for the county’s $3 billion in defaulted sewer debt must be renegotiated.

Kenneth Klee with Los Angeles-based Klee, Tuchin, Bogdanoff & Stern LLP first talked about the possibility of additional concessions in an interview with Bloomberg on Monday while county officials were consulting with rating agencies in New York about a $2 billion refinancing expected to take place in December after the county’s bankruptcy confirmation plan is approved.

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