{"id":15831,"date":"2015-12-30T14:39:43","date_gmt":"2015-12-30T19:39:43","guid":{"rendered":"http:\/\/olduvai.ca\/?p=15831"},"modified":"2015-12-30T14:39:43","modified_gmt":"2015-12-30T19:39:43","slug":"puerto-rico-to-default-on-some-bonds-january-1-live-feed","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=15831","title":{"rendered":"Puerto Rico To Default On Some Bonds January 1 &#8211; Live Feed"},"content":{"rendered":"<h3 class=\"title\"><a href=\"http:\/\/www.zerohedge.com\/news\/2015-12-30\/puerto-rico-governor-addresses-imminent-default-live-feed\" target=\"_blank\">Puerto Rico To Default On Some Bonds January 1 &#8211; Live Feed<\/a><\/h3>\n<div class=\"node\">\n<div class=\"picture\">Puerto Rico governor\u00a0Alejandro Garcia Padilla is set to address the island&#8217;s debt problem at a press conference on Wednesday.<\/div>\n<div class=\"content\">\n<ul>\n<li><strong>PUERTO RICO SAYS IT WILL DEFAULT ON SOME DEBT DUE JAN. 1<\/strong><\/li>\n<li>PUERTO RICO TO MISS $1.4 MILLION DUE ON PFC BONDS DUE JAN. 1<\/li>\n<li>PUERTO RICO TO MISS $35.9 MILLION DUE ON PRIFA BONDS<\/li>\n<li>PUERTO RICO TO MAKE JAN. 1 GENERAL OBLIGATION DEBT PAYMENT<\/li>\n<\/ul>\n<p><strong>Nearly $1 billion comes due on Friday, some $330 million of which is GO debt.<\/strong>\u00a0Because a full payment is next to impossible, Padilla must decide who gets paid and who doesn&#8217;t. Live feed:<\/p>\n<p><iframe loading=\"lazy\" src=\"https:\/\/www.youtube.com\/embed\/N-atJYpmscI\" width=\"560\" height=\"315\" frameborder=\"0\"><\/iframe><\/p>\n<p>And the reaction in the monolines:<\/p>\n<p><a href=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user92183\/imageroot\/2015\/12\/20151230_MBIAMBC.jpg\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user92183\/imageroot\/2015\/12\/20151230_MBIAMBC_0.jpg\" alt=\"\" width=\"600\" height=\"158\" \/><\/a><\/p>\n<p>* \u00a0* \u00a0*<\/p>\n<p><em>Background<\/em><\/p>\n<p>In what\u2019s starting to feel a bit like the Greek saga that unfolded over the summer, Puerto Rico is facing another \u201cD-Day\u201d on January 1 when nearly $1 billion is due to creditors.<\/p>\n<p><a href=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user92183\/imageroot\/2015\/12\/PRDebtJanuary.png\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user92183\/imageroot\/2015\/12\/PRDebtJanuary_0.png\" alt=\"\" width=\"600\" height=\"286\" \/><\/a><\/p>\n<p>For those unfamiliar with the story, the commonwealth is struggling to crawl from under a debt pile that sums to about $70 billion but has thus far been unable to wrench concessions from Congress on restructuring in bankruptcy.<\/p>\n<p><a href=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user92183\/imageroot\/2015\/11\/PuertoRicoDebtService.png\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/www.zerohedge.com\/sites\/default\/files\/images\/user92183\/imageroot\/2015\/11\/PuertoRicoDebtService_0.png\" alt=\"\" width=\"600\" height=\"309\" \/><\/a><\/p>\n<p>Earlier this month, the island struck a deal with the monolines that will let a previously agreed restructuring for around $8 billion in PREPA debt go ahead, and while some hope that could serve as a kind of template for the rest of Puerto Rico\u2019s obligations, analysts and government officials alike think that\u2019s unlikely given the complexity involved.<\/p>\n<p>On December 1, Governor Alejandro Garcia Padilla used a revenue clawback mechanism in order to make a $354 million payment. The end-around effectively allowed Padilla to divert funds from other agencies that have issued bonds in order ensure the government could make good on its GO debt. A default on the GO portion (around $330 million) of what comes due on Friday would trigger a wave of messy litigation and is a situation Padilla wants to avoid at all costs.<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Puerto Rico To Default On Some Bonds January 1 &#8211; Live Feed Puerto Rico governor\u00a0Alejandro Garcia Padilla is set to address the island&#8217;s debt problem at a press conference on Wednesday. PUERTO RICO SAYS IT WILL DEFAULT ON SOME DEBT DUE JAN. 1 PUERTO RICO TO MISS $1.4 MILLION DUE ON PFC BONDS DUE JAN. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[3325,195,200,3824,683,4318],"class_list":["post-15831","post","type-post","status-publish","format-standard","hentry","category-economics","tag-creditors","tag-debt","tag-default","tag-puerto-rico","tag-reuters","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/15831","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=15831"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/15831\/revisions"}],"predecessor-version":[{"id":15832,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/15831\/revisions\/15832"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=15831"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=15831"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=15831"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}