Detroit sends debt adjustment plan to creditors

Reuters News
Posted: Jan 29, 2014 4:47 PM

(Reuters) - Detroit Emergency Manager Kevyn Orr on Wednesday presented a proposed debt adjustment plan to city creditors participating in court-ordered mediation that he said provides "fair and equitable treatment" for all parties, the city said in a statement.

"There is much work still to do and we believe the proposed plan provides the roadmap for all parties to resolve all outstanding issues and facilitate the city's efforts to achieve long-term financial health," Orr said in the statement.

Detroit, which faces a March 1 deadline to submit a plan for emerging from municipal bankruptcy, expects to file one with the U.S. Bankruptcy Court in about two weeks. With the city sinking under a debt load topping $18 billion, Detroit filed the biggest municipal bankruptcy in U.S. history in July.

(Reporting By Karen Pierog; Editing by Bernard Orr)