Posted on 02/22/2014 3:00:42 AM PST by Libloather
The road back for Detroit seems to be getting longer.
More than three months after its historic bankruptcy filing, city officials Friday offered up their proposed plan to pay bondholders, pensioners and other creditors holding its $18 billion debt substantially less then they're owed.
"We think the plan is reasonable," emergency manager Kevyn Orr told reporters. "We really don't have time for a lot of acrimony and litigation."
But even before Orr had a chance to formally unveil it, the plan was under heavy attack from investors, unions representing city workers and other creditors.
(Excerpt) Read more at nbcnews.com ...
Who in his right mind was buying Detroit’s bonds??
Or less THAN. Either way. All the editors have died.
We are watching the dress rehearsal for what is about to happen to the bondholders and pensioners of the US government.
Yep - except that the Chinese hold, last I heard, $600 billion of our debt. They're not going to bow politely, swear a bit quietly in Mandarin, and walk away.
They don't want to piss off the cops and firemen enough that they all call in sick, and then what's left of Detroit burns to the ground.
Sue the Democrat party. They caused these problems and they have lots of money.
I think you are correct.
I am sure Congressional, Presidential, and senior government executive pensions will be nearly or fully "funded." Most others, including Social Security, will probably be screwed. Same thing for bondholders.
The market is going to crash, hard. Trillions in IRA and 401K "savings" will be wiped out.
The Police and Fire Pensions were run with a modicum of fiduciary responsibility and quite frankly, many of their rank and file have little desire to bail out their brethren who worked in the various other department falling under the General Pension ( see below). It is about the underfunding of each financial entity if you will, with the General being the worst.
Their was a great article on the FR-banned Detroit Newspapers a few years ago about all the sins of the General Pension. Kawame hiring some friends that invested in small businesses that went belly up cost the fund somewhere between 500 million and 1.5 billion in losses, the Annual "Bonus" paid out in good market return years that depleted the fund of needed assets in a time like this are just two examples of horrid mismanagement.
Locally here in the Detwaa burbs I have seen TV interviews of Police and Fire retirees exhibiting no solidarity or willingness to step up to the plate and help the General Pension fund. Interesting....
The real problem is conservatives aren't always given a person "worthy" to get their vote. The "lesser of two evils" arguement, which many throw out at election time to drum up support for a RINO over a Democrat, has proven to be a failure.
People like McCain, Graham, McConnell, Boehner and others; are just as much of the reason the nation is in the sad condition, as the Democrats.
Except when private retirement account are wiped out by a stock market crash, taxpayers aren’t on the hook to pay out guaranteed benefits as the public employees retirement accounts are.
23 seniors have died of this new Supper FLU vaccine.
http://www.sciencebasedmedicine.org/even-in-2014-influenza-kills/
There is also a CVS article on it if you care to Google it.
If it burned to the ground who would know?
If Detroit's problems are the fault of the unions then it's the fault of all of them. Hit all the unions equally and maybe instead of a 35% cut it becomes a 20% cut. Wouldn't that be fair?
Underfunding is the fault of the city. Since it was their inept management of their pension responsibility that caused the shortfall, coupled with the demands of unions like the police and fire that caused the debt issue then it's only fair that all of them take the hit equally.
Locally here in the Detwaa burbs I have seen TV interviews of Police and Fire retirees exhibiting no solidarity or willingness to step up to the plate and help the General Pension fund. Interesting....
Say the shoe was on the other foot, would you expect the general fund recipients be willing to bail out police and fire? No. Sorry, all the unions colluded with the various mayors to drive the city into the ground. None are more innocent than any other. If pensions are to be cut they should be cut across the board. And if any of Detroit's former mayors and city council are drawing pensions then they should take a hit as well.
It’s an election year, the Demagogic Party wants its hooks back in us. Thanks Libloather.
"The real problem is conservatives aren't always given a person "worthy" to get their vote."
Very true. But I'm afraid that is the reality of the world we live in. Neither McCain nor Romney were my preference, but I voted for both of them. I mean, look at what we got.
And, to be perfectly honest about it, ever since I first began voting in 1971, I've voted for only one candidate that I absolutely knew was "worthy" - me. I ran for a city council seat in 1982 and voted for myself. Every other election, I voted for the lesser of the evils.
DD, thanks for the great response, I can’t argue your thought process consistent with my limited knowledge of bankruptcy law. My reason was to give a local flavor as to how people are responding emotionally to this situation as well as the history of it. As someone close to Detroit media I sometimes think these subtle nuances do not get the airplay they deserves....
Detroit’s problems started even before 1967. The lack of dough is due to the city getting hollowed out of peeps and their tax contributions over the decades of ‘rat rule.
If it were not under attack from unions we would know it was no good.
By the time it is straightened out enough union pensioners will be dead to resolve the issue
What makes you think that there might be any conservatives left in Detroit city over the last 10-20 years?
That is changing, and changing rapidly.
The dangers of Obama’s ‘MyRA’ scam
Your 401K or IRA will soon be seized by the government
Obama’s MyRA Accounts—The Next Step Towards Government Seizure Of Precious Metals IRA Assets
Obama to Force Americans to Buy Government Bonds?
If you think this is all conspiracy theory gibberish, think again.
Read this:
Retirement Savings Accounts Draw U.S. Consumer Bureau Attention
The news on China is TWICE as bad as you remember.
China held $1.27 trillion of USA debt in December 2013.
If (When) USA interest rates start going up, our economy will be in deep, deep trouble.
Our total debt to foreign nations is $5.8 trillion.
My preferred solution to foreigners who want their money back.....?
“Please press ONE to hear ‘F**K YOU’ in your native language.”
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