Some of Detroit's retirees and bondholders would fare a little worse under a revised plan the city filed in bankruptcy court yesterday to deal with its $18 billion of debt and other obligations, Reuters reported yesterday. Investors who bought Detroit bonds that the city has deemed to be unsecured would stand to recover only 15 percent of their investment, down from 20 percent in the initial plan Detroit filed in February. At the same time, proposed cuts to pensions of some retired city workers grew in the revised plan. For police and fire retirees the potential cuts would rise to 6 percent from 4 percent in the previous plan in the case of a timely settlement, and to 14 percent from 10 percent if the plan is rejected and money pledged by foundations and the state of Michigan for retirees is not forthcoming. The range of cuts to general city worker retirees remained the same at 26 percent with a settlement and 34 percent without.
