April 15 Detroit and its two pension funds are
close to a deal over the treatment of retirement benefits in the
city's historic bankruptcy case, a top retirement system
official said on Tuesday.
George Orzech, chairman of Detroit's Police and Fire
Retirement System, said a final deal that would increase the
assumed investment rate of return for the funds and decrease the
percentage of pension cuts proposed by the city could be reached
as soon as Tuesday.
He added that under the potential deal, the funds would drop
their attempt to overturn a December federal court ruling that
found Detroit was eligible for the biggest municipal bankruptcy
in U.S. history.
(Reporting by Karen Pierog; Editing by James Dalgleish)