Miller Buckfire MD Says Title III Will Help Puerto Rico

The video discusses the situation surrounding Puerto Rico's Cofina debt, backed by sales and use tax, and the implications of Title 3 bankruptcy under the PROMESA law. It covers the negotiations between creditors and the Puerto Rican government, the role of the Oversight Board, and the potential outcomes for secured creditors. The video also addresses the long-term economic implications for Puerto Rico and the importance of restructuring to stabilize its fiscal situation.

What is the primary backing for Cofina bonds?

• Tourism revenue

• Federal grants

• Sales and use tax

• Real estate assets

Why did the Puerto Rican governor offer ninety cents on the dollar to bondholders?

• To increase tax revenue

• To reach a settlement with general obligation bondholders

• To gain political support

• To avoid legal action

What legal strategy did unsecured bondholders use against Puerto Rico?

• Negotiating directly with the governor

• Proposing a new bond issuance

• Seeking intervention from the US Congress

• Filing a lawsuit in New York State Court

What does Title 3 bankruptcy provide for Puerto Rico?

• A reduction in tax rates

• A forum for creditors' rights and litigation stay

• Immediate debt forgiveness

• Increased federal funding

How does the PROMESA law aim to help Puerto Rico?

• By privatizing public services

• By increasing tourism

• By providing an orderly restructuring process

• By reducing government size