Detroit Files Chapter 9

[eolesen]

Largest municipal filing ever, with close to $20B in liabilities and debts.

http://www.marketwatch.com/story/detroit-files-for-bankruptcy-protection-2013-07-18

http://online.wsj.com/article/SB10001424127887323993804578614144173709204.html?mod=mktw

• Detroit's population fell more than 26% from 2000 to 2012 and totals about 700,000—down from almost two million in 1950, according to the census.

• An estimated 40,000 structures or land parcels sit vacant or empty.

• The city spent $100 million more than it took in every year since 2008, on average—borrowing the rest.

• Some 36% of Detroiters lived below the poverty level between 2007 and 2011, the census found.

• In 2012, Detroit had the highest violent crime rate for a city with more than 200,000 residents, the FBI says.

 

[eolesen]

Sounds like almost half the debt & liabilities is retiree benefits....

Detroit has been spending on average $100 million more than it has taken in for each of the past five years. The city’s $11 billion in unsecured debt includes $6 billion in health and other retirement benefits and $3 billion in retiree pensions for its 20,000 city pensioners, who are slated to receive less than 10 percent of what they were promised. Between 2007 and 2011, an astounding 36 percent of residents lived below the poverty line….

Progressive politicians, wonks, and activists can only blame big corporations and other liberal bogeymen for so long. The truth is that corrupt machine politics in a one-party system devoted to the blue social model wrecked an entire city and thousands of lives beyond repair.

http://blogs.the-american-interest.com/wrm/2013/07/18/obama-to-detroit-drop-dead/

 

[whatkindoffreshhell]

Don't forget that 90% of homicides are unsolved. Truly third-world!

I will be very interested to see how three issues are handled by the bankruptcy judge:

1. The Detroit Institute of Art
2. Belle Isle
3. Public sector union pension obligations

If it weren't for Dan Gilbert (Quicken Loans founder) and his group buying up numerous downtown assets, Detroit's future would really be depressing.

Let's see how Obama and his union allies finesse this boondoggle...

 

[eolesen]

Obama Admin has apparently already said no bailout.

 

[delldude]

US gov't doing the exact same thing Detroit been doing for 40-50 yrs.

 

[NewHampshire Black Bears]

Bailouts sure can be thought provoking !

El-CHIMPO + Dirty D I C K....bailout BANKS, and certain regulars here on the cooler don't say SH!T !

B O..bails out GM / Crysler..and those same "silent ones" are all over his case ?????????????

So yea, this DTW thing will be interesting for sure !

 

[delldude]

Bailouts sure can be thought provoking !

El-CHIMPO + Dirty D I C K....bailout BANKS, and certain regulars here on the cooler don't say SH!T !

B O..bails out GM / Crysler..and those same "silent ones" are all over his case ?????????????

So yea, this DTW thing will be interesting for sure !

60 yrs dem rule.....left in ashes.

 

[signals]

Hmmmm. I don't understand the city pensions not being handled by the state. That is how it works. Detroit as a whole has lost many lucrative jobs and crime is sky high. Michigan is following in the steps of the private sector by hitting the lowest common denominator, while powerful politicians continue to reap their undeserved rewards.

 

[signals]

Guess which cities are the most violent? http://money.msn.com/investing/americas-most-dangerous-cities

 

[snapthis]

Guess which cities are the most violent? http://money.msn.com/investing/americas-most-dangerous-cities

It's all Zimmerman's fault.

 

[cltrat]

It's all Zimmerman's fault.

without question fking racist

 

[snapthis]

without question fking racist

Sarcasm noted. ;-)

 

[xUT]

Guess which cities are the most violent? http://money.msn.com...angerous-cities

Oakland is #3
No Surprise here!
B) xUT

 

[cltrat]

Obama Admin has apparently already said no bailout.

was his nose growing when they said that?

 

[southwind]

It's all Zimmerman's fault.

Yeah but, Bush made Zimmerman do it !