Feb. 14, 2013 10:30pm Becket Adams
Jefferson County, Ala., approved a deal Thursday with European Depfa Bank Plc to cut interest charges on approximately $162 million of the bankrupt county’s school debt, Reuters reports.
“Although the ‘plan support agreement’ saves only about $1 million a year for the county, which in 2011 filed a $4.23 billion municipal bankruptcy,” the report notes, “the resolution passed by the Jefferson County Commission said the deal would likely help the county hammer out a broader adjustment plan with its Wall Street creditors.”
Jefferson County Commission president David Carrington
signs Chapter 9 bankruptcy papers (Photo Source: AP Photo)
Blaze readers may recall that Jefferson County, home to Birmingham, was plunged into the largest bankruptcy in U.S. history after a disastrous, ill-planned, and corrupt planned sewer-system racked up over $3.2 billion in debt.