Detroit Labor Groups Butt Heads With Bondholders Over City's Debt
Detroit's state-appointed emergency manager says the city is bankrupt and the fight over who will get what is heating up. In the next month, Kevyn Orr will try to wring concessions out of the city's creditors before he decides whether to take the whole mess to bankruptcy court. Orr's plan proposes "shared sacrifice among all creditor groups." But in reality, that pits the city's retirees against its bondholders — and bondholders against each other.