Jefferson County, which is located in the state of Alabama, filed for bankruptcy about two years ago, and it is still trying to finalize its bankruptcy plan.  As part of its bankruptcy proposal, it is planning to sell its “sewer-refinancing bonds” which is estimated to be worth about “$1.7 billion” as reported by Bloomberg News in a November 1, 2013 article.

The earliest the sale can occur is next week. As a result, Jefferson County wants the upcoming hearing that has been scheduled to be postponed until after the sale, as it will be in a better position to report its progress with the court. The sale of the bonds will benefit Jefferson County as some of the bonds will bring in interest. Many people and/or entities are trying their best to help Jefferson County get out of its current financial state. Thus, “Assured Guaranty Ltd will insure $500 million of the senior debt under the agreement,” whereas “JPMorgan Chase & Co. will provide a 40-year letter of credit that allows the county to avoid borrowing to fund the debt-service reserve.”

In addition, Jefferson County will try to sell “the debt to mutual funds, hedge funds and money managers that focus on high-yield bonds,” which its creditors agreed to. The County will have a meeting where it will discuss its options, and that meeting was scheduled for November 7, 2013. This meeting will determine whether the bonds are a good idea and whether it will bring in income for the County.

If you are considering bankruptcy, then you should speak with an experienced bankruptcy attorney. Jayson Lutzky has over 30 years of experience practicing law and handles personal bankruptcy cases. The attorney offers free in person consultations, so if you are in debt or you are behind in mortgage or loan payments, set up an appointment to speak with Mr. Lutzky. The consultation is confidential. Call 718-514-6619 or visit www.MyNewYorkCityLawyer.com for more information.