Editorial Says PROMESA Offers “Much-Needed Relief” And Preserves “Existing Lawful Priorities.”
The Washington Post: PROMESA Is “Much-Needed Relief For Debt-Ridden Puerto Rico.” (Editorial, “Much-Needed Relief For Debt-Ridden Puerto Rico,” The Washington Post, 5/19/16)
- Hedge Funds Have “Beleaguered” Puerto Rican Populace Into A “Possible Humanitarian Crisis.” “That’s why Mr. Ryan had set a March 31 … only to be thwarted by an effective, but not very transparent, lobbying effort led by hedge funds with an interest in blocking restructuring of Puerto Rican bonds they bought at fire-sale prices. Taking to the airwaves with hyperbolic warnings of an impending taxpayer ‘bailout,’ these interests helped distort and delay House work on a bill, pushing Puerto Rico and its beleaguered populace right to the edge of financial collapse – and a possible humanitarian crisis.” (Editorial, “Much-Needed Relief For Debt-Ridden Puerto Rico,” The Washington Post, 5/19/16)
- PROMESA Is A “Workout” That Provides Puerto Rico “Financial Breathing Room.” “Instead, what’s been on offer is a ‘workout.’ Creditors may be bought out at a discount, giving Puerto Rico financial breathing room, in return for which the island will have to make structural reforms so it can meet reduced obligations and restart growth.” (Editorial, “Much-Needed Relief For Debt-Ridden Puerto Rico,” The Washington Post, 5/19/16)
- PROMESA Preserves “Existing Lawful Priorities.” “Creditors still howl that the board could pay public employee pensions before bondholders; the bill actually preserves existing lawful priorities and leaves it up to the board to grant any adjustments, subject to court review.” (Editorial, “Much-Needed Relief For Debt-Ridden Puerto Rico,” The Washington Post, 5/19/16)
- Puerto Rican Governor’s Attack On PROMESA “Is Actually A Reassuring Sign” That PROMESA Has “Teeth.” “Puerto Rico’s governor protested an ‘attack [on] our self-government,’ which is actually a reassuring sign the measure has teeth, much like the rescue plan for the District, upon which it is modeled. The District’s current prosperity is due in no small part to that plan’s success in resolving its fiscal crisis two decades ago. With any luck, Puerto Rico will find a road to a similar recovery, starting with passage of this bill.” (Editorial, “Much-Needed Relief For Debt-Ridden Puerto Rico,” The Washington Post, 5/19/16)
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