Posted on 06/28/2015 6:37:41 PM PDT by tcrlaf
Puerto Rico’s governor, saying he needs to pull the island out of a “death spiral,” has concluded that the commonwealth cannot pay its roughly $72 billion in debts, an admission that will probably have wide-reaching financial repercussions.
The governor, Alejandro García Padilla, and senior members of his staff said in an interview last week that they would probably seek significant concessions from as many as all of the island’s creditors, which could include deferring some debt payments for as long as five years or extending the timetable for repayment.
“The debt is not payable,” Mr. García Padilla said. “There is no other option. I would love to have an easier option. This is not politics, this is math.”
It is a startling admission from the governor of an island of 3.6 million people, which has piled on more municipal bond debt per capita than any American state.
(Excerpt) Read more at nytimes.com ...
"A proposed debt exchange, where creditors would replace their current debt with new bonds with terms more favorable to Puerto Rico, signals a significant shift for Mr. García Padilla, a member of the Popular Democratic Party, who was elected in 2012. His party is aligned with the Democrats on the mainland and favors maintaining the island’s legal status as a commonwealth."
Another Utopia run by Democrats for a generation, that has finally run out of OPM (Other People’s Money).
The debt is only $200,000 for every man, woman, and child on the island. Does anyone see a problem?
Time for a nice, deep haircut bondholders.
Well innat nice.
I would extend them the same grace they give the people when they are in debt to the government. Massive fines and penalties, freezing all accounts, liens on all property, seizure of all tangible assets and garnishment of wages, along with threat of prison.
And they get to vote in our primary elections.
Nuevo Grecia.
Bingo. Make the Governor personally responsible as well as their legislature. They’ll find the money.
L
............”This is not politics, this is math.”
The ‘H’ it is! It was typical Democrat pol’s buying votes in typical Democrat ways, and means that drove the unpayable debt to accumulate to what it is today.
Just another lyin’ Damnocrat trying to pass the blame onto something, or someone else. IF it’s a Democrat, it can’t possibly be at fault for anything negative /S.
How much will I be billed for?
The Federal government alone has a $17 trillion, the states and cities in aggregate probably have another $8 trillion debts. Government entities are responsible for or have guaranteed another $100 trillion in unfunded liabilities. People who claim that this is a manageable situation and call for even more borrowing and spending are delusional. Conservative attention has focused on the decadent and hedonistic SCOTUS decisions. However it is difficult to see how with an anti capitalist administration that stifles economic growth with its crusade against carbon energy sources, endless rules and regulations that discourage productive entrepreneurs and a population that increasingly buys into non productive redistribution schemes,a happy future.
They’re already costing us $2 billion a year just in food stamps.
They are going into debt at an amazing rate
NJ is in the same boat; we have no way out of our downward spiral. There are simply too many public employees at the trough, and too many living elsewhere (retirees) that are still “at the trough”...
“Does the Puerto Rican flag look familiar in any way?”
Hill yeah, it sure does.
Government receipts are only $28 billion in 2014.
Definitely looks like a Democrat run operation. Maybe Obama will sell PR to Kenya.
Just raise taxes, sheesh.
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