Mich. County Calls Off $60M Bond Sale With Detroit In Ch. 9

Law360, New York (August 8, 2013, 8:52 PM EDT) -- Michigan's Saginaw County has called off a planned $60 million bond offering that was scheduled for Thursday, in an indication that Detroit's unprecedented Chapter 9 case is having reverberating effects on the municipal bond market across the state.

The Saginaw offering's underwriter, Cincinnati-based Fifth Third Bank, confirmed that the planned bond sale was off, fueling speculation that potential investors have been spooked by Detroit emergency financial manager Kevyn Orr's warning that some Detroit debt holders could see just pennies on the dollar in terms of recovery....
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