Puerto Rico reaches deal to restructure $3B of power debt

Puerto Rico reaches deal to restructure $3B of power debt:
SAN JUAN, Puerto Rico (AP) — Puerto Rico’s government reached a deal Monday night with a bondholder group to restructure more than a third of the debt owed by its troubled power company as the utility moves toward privatization.
...Officials said bondholders that hold more than $3 billion in debt from Puerto Rico’s Electric Power Authority would exchange it for two new bonds.
One would be exchanged at 67.5 cents on the dollar, while the other would be exchanged at 10 cents on the dollar and would be linked to Puerto Rico’s economic recovery.
...The deal marks the first time Puerto Rico will not pay a revenue bond in full, and it could have consequences beyond the U.S. territory, including higher interest rates on those types of bonds, he said.
...Some 200 customers remain in the dark more than 10 months after the hit as Puerto Rico struggles to emerge from an 11-year recession.