Detroit expected to submit debt restructuring plan to bankruptcy court Friday

DETROIT - A plan to get the city of Detroit through and out of bankruptcy is expected to be filed before a court-imposed deadline.

A spokesman for state-appointed emergency manager Kevyn Orr has said the plan will be filed in federal bankruptcy court Friday, though the deadline for filing is March 1.

The plan will spell out how those receiving city pensions, retirees, banks, bond insurers and other creditors will fare under Orr's efforts to trim down Detroit's $18 billion debt.

A draft given last month to creditors showed retirees and pensioners getting $4.3 billion and bondholders about $1.1 billion over 40 years, leaving the city with a nearly $336 million surplus.

The plan will be accompanied by a statement outlining reinvestment in Detroit, including municipal services, during the next 10 years.

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