Stockton's Chapter 9 Filing

posted Jul 2, 2012, 11:04 AM by Keith Carr

A good analysis from Reuters re the Stockton bankruptcy filing in Sacramento, Ca: Of particular importance are the facts that Stockton’s credit rating went down prior to bankruptcy which increased its borrowing costs. Yet the California mandate that cities negotiate with creditors prior to filing Chapter 9 helped Stockton and may mean the difference between passing and failing.