The August 18, 2023 edition of The Bond Buyer quoted FTLF Senior Counsel Phillip Escoriaza on the unexpected resignation of Puerto Rico Financial Oversight and Management Board member Justin Peterson over debt adjustment plan proposals for the Island’s bankrupt utility, the Puerto Rico Electric Power Authority (PREPA). The former Board member disagreed with plans to protect PREPA retirees’ pension benefits as it would diminish PREPA bond creditors’ returns.
Asked to share his thoughts on the controversy, Mr. Escoriaza emphasized the gravity of pensions, given that thousands of Puerto Rican families rely on pensions to cover housing, food, health care and other basic needs. He added that the utility’s debt adjustment process should prioritize the long-term financial stability of Island residents over payments on risky investments.
We appreciate the opportunity The Bond Buyer provided for Mr. Escoriaza to share his insight on this important development. The Bond Buyer is a national trade publication covering the municipal bond industry. Please click here to read the entire article.