Puerto Rico in Distress

ABI Analysis

A federal judge on Wednesday approved a plan to restructure some $6 billion of debt held by Puerto Rico’s Highways and Transportation Authority as the U.S. territory emerges from bankruptcy, the Associated Press reported. The plan cuts the agency's debt by more than 80% and saves Puerto Rico more than $3 billion in debt service payments, according to Gov.

McKinsey & Co., the consulting powerhouse that advises not just Puerto Rico’s government but also the primary contractors and vendors for the island territory’s energy system, is facing scrutiny in the wake of the power grid’s continued dysfunction, WSJ Pro Bankruptcy reported.

A federal judge on Wednesday ordered a fresh round of mediation talks aimed at restructuring more than $8 billion in debt held by Puerto Rico’s power company as it struggles to recover from Hurricane Fiona, the Associated Press reported. In addition, U.S.

Hurricane Fiona hit southwestern Puerto Rico with 85 mph (140 kph) winds on Sept. 18 and the broad storm unleashed flooding across the island, which still had not recovered from 2017′s Hurricane Maria, a stronger cyclone that slashed across the U.S. territory, obliterating the power grid, which had since been patched but not fully rebuilt, the Associated Press reported.