Judge Steven Rhodes went so far as to wonder why the bankruptcy had not happened several years before. The green light now allows Mr Orr to cut the amount of pensions that will be paid to employees. Trade unions had opposed the bankruptcy and tried to stave it off, partly as a way to protect the pensions of staff. The arguments were not all one-sided, however - as the judge agreed that Mr Orr had not negotiated in good faith, as required under the law, in the weeks leading up to the filing of the Chapter 11 claim. However, the judge held that negotiating in good faith with all 100,000 creditors was probably 'impossible'. Mr Orr has retained law firm Jones Day as an advisor throughout his appointment. Source: State Journal
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