The bankrupt city of Stockton, Calif., will present a draft plan on Friday to adjust its debt while it keeps negotiating with bondholders, a lawyer for the city told Reuters on Tuesday. Stockton's city council will review the draft next week and a final version could be filed with the bankruptcy court on or shortly after Oct. 4, marking a milestone in the city's efforts to put its finances in order, attorney Marc Levinson said. Levinson later told Bankruptcy Judge Christopher Klein during a hearing on Stockton's chapter 9 municipal bankruptcy case that it was not clear whether agreements with bondholders would be part of the plan. But Levinson added he was hopeful ongoing confidential talks with Stockton's capital markets creditors will lead to agreements with them.
