US municipal woes

The struggling finances of US states have been thrust into the spotlight in recent years after tax revenues fell sharply as a result of the economic slump, leading to gaping budget deficits throughout the country, severe spending cuts and, in some cases, tax hikes

Puerto Rico utility finalises debt deal

Bondholders agree 15% haircut and receive newly securitised paper


Detroit ©Getty
The decline of Motown’s home in charts
– FT Data

Puerto Rico close to default precipice

Advisers see possible restructuring model in utility bond talks

Debt fight clouds Puerto Rico’s economy

Lengthy court battles expected as bondholders fight government and each other

Puerto Rico faces $28bn shortfall

Cash crunch looms on debt-ridden island, says report

Puerto Rico on brink of debt default

Territory fails to make $58m bonds payment, says governor

Puerto Rico bondholders present debt plan

Improving tax collection could help avoid default, says report

Doubt raised on Puerto Rico bond payment

Debt-issuing body fails to transfer funds to trustee

Puerto Rico urges creditors to co-operate

Officials say it is too early to say how bonds will be treated

Puerto Rico to meet creditors

Stricken island to set out argument for debt relief

Puerto Rico debt mess a boon for lawyers

Island’s tangle of debt obligations could mean years of litigation

Volcker warns on US state finances

Parts of the country remain under ‘heavy pressure’

Muni risk rises as pensions are put first

Parameters transformed by Chicago and Detroit rulings

Illinois bond yields jump sharply

Rejection of measures to tackle pension deficit pressures rating

Puerto Rico casts shadow over muni market

Island’s rating downgrade adds to pressure on debt investors

Reversal of fortunes as US munis surge

Returns attractive but investors in the asset class are easily rattled

Bitter history tempers hope in Detroit

Decades of inequality stand in the way of the city’s renewal

Judge approves Detroit bankruptcy plan

Proposal to slash $7bn in debt ruled ‘fair and equitable’

SEC fines 13 groups over Puerto Rico bonds

Rule to protect small investors violated

Detroit settles with holdout creditor

Deal with insurer is big step as city emerges from bankruptcy

Squeeze on US muni sales boosts prices

New issuance down 6% as cities and states cut spending

Detroit seeks a vision through the blight

Restructuring plan divides bankrupt city’s leaders and residents

US munis could get regulatory reprieve

Fed looks at use of bonds to comply with bank liquidity rules

Detroit retirees back city bankruptcy plan

Vote caps months of talks with unions and bondholders

Orr hopes to steer Motown out of the blues

Detroit’s emergency manager believes city is ripe for reinvention

Bankruptcy battle heats up for Detroit art

Bond insurer claims the city’s collection could reap up to $2bn