Detroit Reaches Deal With Bondholders in Bankruptcy Talks
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Detroit got closer to resolving its record $18 billion municipal bankruptcy, reaching a deal with the insurer of taxpayer-backed bonds on how to treat debt holders.
Details are being put into final written form, according to a statement filed in court yesterday by mediators appointed to help broker an agreement. Since filing for bankruptcy last year, Michigan’s largest city has been negotiating with many of its biggest creditors, including unions, pension plans and some bondholders.