The bankrupt city of Stockton, Calif., on Friday submitted a revised plan to exit chapter 9 that reflects the judge's ruling over the value of a holdout creditor's collateral, but a larger question still looms over whether public pensions will be cut, Reuters reported yesterday. The Northern California city, which entered bankruptcy in 2012 and hopes to exit chapter 9 protection later this year, promised that it would pay a secured claim of $4 million, according to court documents. The city initially had valued the collateral as worthless. The value of the collateral, which includes two golf courses, a community center and a park, was a remaining point of contention in Stockton's case. Bankruptcy Judge Christopher Klein ruled in July that the collateral with which Stockton could pay holdout creditor Franklin Templeton was worth $4.052 million. In early proceedings, Franklin had argued the value was between $6.12 million to $17.34 million.
