Apr. 15 at 10:58 AM
$MBI The latest debt adjustment plan for the bankrupt Puerto Rico Electric Power Authority (PREPA), which reduces its
$10 billion in claims by 80%, will require the utility to keep its contracts with its private operators.
The Financial Oversight and Management Board filed the amended plan of adjustment, the fifth since the case began in 2017, last week. The plan will reduce PREPA’s debt by almost 80%, to
$2.6 billion in cash or bonds, excluding pension liabilities.
“The new PREPA Fiscal Plan clearly shows the Puerto Rico energy system is more costly to keep running than previously projected,” said Robert F. Mujica Jr., the executive director of the oversight board. “Due to the significant resources needed to make the energy system reliable and sustainable, PREPA will not impose additional rate increases for debt service beyond the rates necessary to cover the energy system’s operating costs.”
https://www.sanjuandailystar.com/post/prepa-s-debt-deal-requires-keeping-contracts-with-private-operators
