Detroit's $165M Deal To Exit Swap Contracts Gets Nixed

Law360, New York (January 16, 2014, 7:14 PM EST) -- A revised $165 million settlement that would terminate swaps agreements between bankrupt Detroit, UBS AG and Bank of America Corp.'s Merrill Lynch Capital Services LLC was reportedly rejected by a Michigan bankruptcy judge Thursday, who said “it's just too much money.”

In a ruling from the bench, U.S. Bankruptcy Judge Steven W. Rhodes said the city must stop making poor financial decisions and it's his responsibility to make sure Detroit emerges from the Chapter 9 bankruptcy as a financially stable entity, according to the Detroit Free...
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