Bankruptcy

A municipal restructuring executive who played a key role in DC's oversight board in the 1990s is Detroit's new CFO.

Stockton is poised to exit Chapter 9 bankruptcy in March 2014, but not without a fight with its last major creditor, Franklin Advisers, over $35 million of the city's lease revenue bonds.

After successful pricing of $1.8 billion in sewer debt, a hearing on Jefferson County, Ala.'s bankruptcy plan could lead the county out of Chapter 9 this week.

Detroit should drop its plan to unwind its costly interest-rate swaps and instead argue the transactions be declared illegal, a former municipal investment banker Wallace Turbeville said in a report released.

The Desert Hot Springs, Calif., City Council voted unanimously to declare a fiscal emergency, the first step in the state's process leading to filing for municipal bankruptcy, according to news reports.

State and federal investigations of the Beaumont, Texas, Independent School District brought a Moody's Investors Service warnings of a possible downgrade on the district's $405 million of general obligation debt Tuesday.

Bankrupt Jefferson County, Ala., sold $1.8 billion of new sewer warrants following a three-day pricing, County Commission President David Carrington said Tuesday night.

Fitch Ratings affirmed ratings on Miami's bond issues citing improved finances but said there is fiscal uncertainty due to legal challenges.

The Pennsylvania agency overseeing Harrisburg's financial recovery has petitioned a court to extend the term of city receiver William Lynch for two more years.

Detroit has not reallocated payments for its unlimited-tax general obligation bonds because those bonds are tied up in federal mediation talks, the city said Monday.

During a hearing Monday, a U.S. bankruptcy judge set the trial date to hear Stockton, Calif.'s bankruptcy exit plan in March.

Detroit Monday disclosed the fees it must pay to Barclays Capital Inc. to secure a $350 million debtor-in-possession financing, after the bankruptcy judge overseeing the city's case ordered the disclosure.

There is no legal basis for the judge overseeing Jefferson County, Ala.'s bankruptcy case to reject the opinions of expert witness James White, argue opponents of the county's plan to exit Chapter 9.

Bankruptcy Judge Meredith Jury rejected another California Public Employees' Retirement System request for a direct appeal to the U.S. Ninth Circuit Court of Appeals on San Bernardino’s bankruptcy eligibility.

As Jefferson County, Ala., began to sell sewer warrants on Friday, analysts said they remained concerned about the rate increases needed to repay the debt.

The triple-B ratings assigned to Jefferson County, Ala.'s $1.7 billion sewer warrant deal should be considered "borderline non-investment grade," Standard & Poor's said.

The federal judge overseeing Detroit's bankruptcy case ruled Thursday that the city must reveal the fees it plans to pay to Barclays for a $350 million debtor-in-possession financing, one of the few DIP loans for a municipality in Chapter 9.

Bankrupt Jefferson County, Ala.'s former financial advisor James White revealed "privileged" information and violated his fiduciary duties, attorneys for the county claim.

Detroit emergency manager Kevyn Orr redirected $95 million meant for debt-service payments into a fund for restructuring costs, according to a budget memo obtained by the Detroit City Council.

Bankrupt Jefferson County, Ala.'s $1.7 billion of new sewer warrants should be rated in the speculative grade B category, Moody's Investors Service said in a special comment.