Puerto Rico in Distress

ABI Analysis

Puerto Rico’s attempts to overhaul its troubled public power utility are off to a rough start.

A plan to restructure $22 billion of Puerto Rico debt and fix the bankrupt island’s unfunded pension system won’t have the support of Governor Pedro Pierluisi, Bloomberg News reported. The governor intends to file an objection regarding the restructuring plan to the court overseeing Puerto Rico’s record bankruptcy, Pierluisi said in a statement yesterday.

Puerto Rico’s financial oversight board is aiming to get the commonwealth out of its record bankruptcy by the end of 2021, a move that is expected to help lift the island out of years of economic decline, Bloomberg News reported.

A bond insurer can access a limited pool of information explaining Puerto Rico's cash position amid ongoing efforts to restructure the commonwealth’s debt stack, but it is not entitled to more information related to the territory's real estate assets right now, a judge ruled on Monday, Reuters reported. U.S.