Prof. David Skeel, chairman of the federal control board that oversees Puerto Rico’s finances, announced on Wednesday that he is stepping down as the U.S. territory struggles to restructure more than $9 billion in debt held by its troubled power company, the Associated Press reported.
Puerto Rico in Distress
Video Features
ABI Analysis
A group of bondholders and insurers of Puerto Rico Electric Power Authority debt extended a cooperation agreement to oppose the bankrupt utility’s proposal to drastically reduce its obligations, Bloomberg News reported. Assured Guaranty, Syncora Guarantee and GoldenTree Asset Management, along with an ad hoc group of investors including Invesco Advisers Inc.
The private operator of Puerto Rico’s power grid confirmed Monday the deferral of $65 million worth of maintenance and improvement projects in the U.S. territory, with some repairs postponed for at least a year because of budget constraints, putting at risk the already troubled grid — and sparking a widespread outcry, the Associated Press reported.
Puerto Rico’s financial oversight board is seeking to reopen a confirmation hearing on a debt-restructuring plan for the island’s power utility after an appeals court last week ruled that bondholders have a claim to the agency’s future net revenue, Bloomberg News reported.
Other Resources
The Financial Oversight and Management Board for Puerto Rico was created under the Puerto Rico Oversight, Management and Economic Stability Act of 2016. The Board consists of seven members appointed by the President of the United States and one ex officio member designated by the Governor of Puerto Rico. Access information on the Board, documents, videos of meetings, calendar of events and live webcasts by clicking here.