Puerto Rico Employees Retirement System

The current bill is inconsistent with what the Oversight Board has said it is willing to accept.

Despite the recent two-week extension Peter Hein says the timeline is too tight and another week is needed.

The Plan of Adjustment confirmation hearing will still begin on Nov. 8.

The move could push the Plan of Adjustment, and debt restructuring, closer to the finish line, although the Senate president listed eight more concessions he wants.

While there is no formal deal between the board and the local government, the bill may ultimately serve as a comprehensive bargain.

Judge Swain said she would rule on Sept. 30 on extending the Oct. 4 deadline for voting.

The board sent mixed signals on a possibility of deal with legislature on pension cuts.

Pierluisi filed a request to stay the adversary proceeding in late August. Since then, the board and Puerto Rico House and Senate leaders told the court they oppose the stay.

The board will say it has treated the creditors fairly, it meets the 'best interest' test for debtors, and its plan preempts dozens of local laws.

The deal affects $3.2 billion of Employees Retirement System bonds.

At issue is at least $340 million, the cities claim they are not liable for. The suit could impact the viability of the proposed plan of adjustment, but sources say the suit is unlikely to succeed.

The 'pension' bondholders have reached a preliminary deal with the Puerto Rico Oversight Board.

The plan and disclosure statement indicates only some of the terms for the HTA, CCDA, and PRIFA rum tax bonds.

Possible withdrawal of bond insurer support and the opposition of the local government to pension cuts are the biggest hurdles to the plan.

The deal continues to offer better recoveries for the guaranteed Public Building Authority debt than for general obligation debt, but trading of the GOs blew up with more than $180 million exchanging hands to higher prices.

The Oversight Board asked the court to extend its deadline for submitting various documents including a term sheet to restructure the central government debt.

Sixteen investment funds are making an argument on Employees Retirement System bonds that could be widened to other Puerto Rico bonds.

Bondholders say Puerto Rico is in a good position to pay the amounts listed in the February 2020 proposed Plan of Adjustment.

The Supreme Court decision in the Aurelius case that the Oversight Board was a local entity affected the U.S. Court of Federal Claims' decision.

Justin Peterson said he expects the next fiscal plan will allocate money for Puerto Rico's central government debt.