Page 250 - Restructuring News Today

He could only take it so far. and can washington, in its current state, really do something this dramatic? look at their trouble in restructuring new orleans, for instance. >> well, first of all, the state of michigan could take it further. snyder has chosen not to. hes a republican with a republican legislature. hes trying to make a statement that we dont do bailouts -- if you want to call it -- dont do bailouts. but he certainly has some money that he could put into this situation. washington ...

Ive been doing this for the better part of three decades. chrysler now has the ram truck of the year. every restructuring ive been in, doom shares say this is going to ruin insert enterprise here. certainly the credit markets have responded. theyll make rational decisions because theyre financial institutions. after this kerfuffle, well be back in business. >> chris: how long will it take? >> the foul of 2014. >> chris: thats a little more than a year? >> we now have a judge. the judge will have...

Pay these pensioners full payments for the next six months. but after that, isnt there a real possibility that these pensioners who work for the city for decades who thought they had a contract with the city that theyre going to be in real trouble? >> well, theres a real issue there, chris. as we said in our proposal that we put out on june 14th, you know, about $5.7 billion of that $9 billion is unfunded health care. and about another $3.5 billion of that is unfunded pensions. were going to hav...

Since you made your filing this week have said that you made a mistake. in fact, standard & poors since your filing, has dropped detroits bond rating to its lowest level. and it says that youre going to have a great difficulty, even if you restructure, even if you go through all this pain in getting investors ever to trust the city if they go out and try to borrow money again. >> mm-hmm. chris, ive heard that in many other contexts. and certainly ive been doing this now for the better part of th...

Other contexts. ive been doing this for the better part of three decades. chrysler now has the ram truck of the year. every restructuring ive been in, doom shares say this is going to ruin insert enterprise here. certainly the credit markets have responded. theyll make rational decisions because theyre financial institutions. after this kerfuffle, well be back in business. >> chris: how long will it take? >> the foul of 2014. >> chris: thats a little more than a year? >> we now have a judge. the...

Think you are making researches to the auto industry, where you had a market meltdown. you could not get liquidity or capital into the auto industry because the credit market his frozen. there wasnt access to capitol. so you needed help from the federal government to see them through. the ripple effects, which are different. the ripple effects of millions of people going unemployed with -- the suppliers to the auto companies going bankrupt or out of business. seits a different situation. i might...

See you later. >> shannon: see you soon. ditroits manager manager says the city has only itself to blame for the long line of money issues that -- forced it to declare bankruptcy. >> now that the city has filed an historic bankruptcy case with $18 billion in debt, whats next? the process will be a lengthy one, involving more than 100,000 creditor, including the police and fire retirement system and the 20,000 general city retirees. all city workers, curcht and retired could see pension cuts. >> ...

No restructuring has been going on, only restructuring citizens out of their constitutional rights and voting rights. >> councillor, i want you to listen a little bit to what the emergency manager kevin orr said yesterday. >> as far as things are concerned for the provision of services and the conduct of city business, it is business in the ordinary course. services will remain open. paychecks will be made. bills will be paid. nothing changes from the standpoint of the ordinary citizens perspect...

>> a city once known for the booming auto industry has suffered a huge decline. detroit the largest city to file for bankruptcy in history. >> bankruptcy filed for chapter 9 after they failed a host of pressures to for give a lot of the citys debt in order to pass sill tate a massive financial restructuring. kevin ore was hired to lead detroit out of a fiscal free fall. rick snyder says based on the negotiations the filing is the citys one feasible pass that offers a way out. >> in detroit there...

Our partner in almost everything that we do and that although the nature of the challenges we face have changed, the strength of our relationships, the enduring bonds based on common values and common ideals very much remains. we began today talking about economic issues following up on the discussions that we had had at the g8 summit. overall germany is our largest trading partner in the eu, so we have a profound stake in each others success. we agreed that there is more work to do. not only do...