Orr Cancels Creditors’ Bus Tour of Detroit

Robert Snell, Detroit News, July 9, 2013

Detroit Emergency Manager Kevyn Orr on Tuesday scrapped a scheduled bus tour for Wall Street creditors of the city’s worst areas.

Several creditors decided against taking the tour Wednesday and said they would rather spend time researching the city’s financial condition, the emergency manager’s spokesman Bill Nowling said.

Initially, 25 people—mostly bondholders, insurers and other unsecured creditors from New York City and New Jersey—signed up but several have canceled in the wake of media attention and interest in covering the tour. The tour required creditors to sign a waiver indemnifying the city if anyone was injured or killed during the roughly three-hour trip.

{snip}

Nowling said a tour could be rescheduled with creditors, who are in town this week meeting with members of Orr’s restructuring team.

“Mr. Orr still encourages the city’s creditors to visit and tour the city on their own to see first-hand the issues ordinary Detroiters must deal with each day,” Nowling said in a prepared statement. “If creditors do take the time to see all of Detroit they will better understand why the Emergency Manager proposed a restructuring plan that focuses on creating a strong, viable and solvent Detroit that is able to provide the most basic of services. Restructuring is not just about balance sheets, it’s also about the 700,000 Detroiters who need the city to thrive again.”

The tour was conceived after some financial creditors balked at agreeing to concessions that would keep the city from filing the biggest municipal bankruptcy in U.S. history. {snip}

{snip}

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  • At first, I thought this bus tour would have been counterproductive.

    The only thing that this would have convinced the creditors of is that this city will never be able to pay back that debt. This Kevin Orr must be the type that gets absolutely skunked eight ways to Sunday in intelligence tests when the opponent is a box of rocks.

    If you get a a car loan from a bank to buy a Porsche, and you total it, and you haven’t been making the payments for awhile, and you want the bank to refinance the loan, you don’t show the loan officer your totaled Porsche, you show him or her documents relating to your personal finances.

    Likewise, Orr should not have considered showing Dirt-Rot’s creditors the reason why Dirt-Rot is in so much debt, he should have showed them the good things about the city, evidence that it’s coming back and evidence of its financial viability. And that would be…er…uh…er…mmm…uh…eeeh….(insert laugh tracks here)

    After having slept on it, I had to come to a different conclusion. The purpose of this ghetto tour would have been to show the creditors that black people live there. This tour would have been an implicit riot-protest threat: He was basically aiming to tell them by parading them around Bell Curve City Detroit that if they don’t refinance, the “people” that live there will riot, the loudmouth justice brothers like Sharpton, Jackson and Detroit’s equivalents like Lamar Lemons will be screaming and agitating on Wall Street, and just remember who’s President and who elected him.

    • 1Forced_Registration

      I have to think that Question Diversity is right here. Detroit may be broke, but with the amount of money on the table to not be able to spare a few unmarked, a couple marked cop cars to cruise continually around the bus? Meah. Only game that they could be playing is the terror game.

      Unfortunately, for the creditors, they are already in for a penny. Hopefully they don’t make the mistake of in for a pound.

    • Rhialto

      Perhaps Orr’s motives were somewhat intelligent: He wanted to show the creditors that Detroit was not quite a total disaster in every respect. There were houses that were not in ruins. There were people working. There were youts not commiting crimes.

      Orr wanted to compare Detroit to a patient, who might be brain dead and on cardiac support, but life sustaining biological processes were still taking place.

      • Sure, Boston-Edison is full of nice houses populated by first world people, that would make any urbanist drool. I understand that Detroit has a downtown loft district. But do the scant few residents of B-E and the loft yuppies have the financial oomph to finance the debt service on twenty gigabucks of municipal red ink?

  • Spartacus

    “Mr. Orr still encourages the city’s creditors to visit and tour the
    city on their own to see first-hand the issues ordinary Detroiters must
    deal with each day,”

    ———————————————————————————————————————

    The issues = Blacks shooting, killing and raping everything that moves

  • Romulus

    What a bunch of chicken guano cowards!!! The elite have no problem putting regular folks in harms way, but go on down to street level and greet the local yoofs!!! NO WAY!!!!

    • evilsandmich

      For the elites, it’s best to stay in the ‘green zone’.

      • Romulus

        Hermetically sealed suburban soccer police protected cul DE-sacs!!!!!

    • MawellAxel

      This makes me wonder, are these creditors the “Elite”? If so, is it their own money they are poring down this drain? Also, who would be so foolish as to be a creditor of any black city at this point? One thing is for certain, there will at some point be a meltdown of the Bond market when cities like Detroit start defaulting on their loans. This is just the FIRST domino to go… no wait, there have been others, didn’t Stockton, another black city, already go belly up? That should have been like the first bump the passengers felt on the Titanic as it hit the iceberg. Now the black municipalities have been taking on water for a long time now and they are all just about to go under. This will have tremendous consequences for the nation. The fed can not keep pumping money out to keep these cities, and the federal government afloat. The day of reckoning will come and it will be truly disastrous. Whole municipalities like Philly, Detroit, Birmingham, Atlanta New Orleans etc will not be able to pay the black government workers-the only ones working in those places, and the welfare checks will stop coming too, or inflation will render them worthless.

      • evilsandmich

        Amusingly, it’s not unusal for the pension fund to buy the bonds of the muni that the pensioneers are from. It might explain why the unions just want ‘more money’ rather than to clean out the bond holders like they did with GM. No money for bond holders, no money for pensions-they’re getting it from both ends more than likely.

        • MawellAxel

          oh, that would be lovely!

      • Romulus

        Love your analysis. The models will not be able to sustain much more. Then the FUN will begin!!. The transition back to natural carrying capacity will not be pretty. The g8 will do everything in their power to keep the peace. Huge numbers of patriots will dissent from the collective borg. The one worlders will be in a pickle. They’ll try to stave off calamity by turning everyone into disarmed marshmallow sissies. There have been several excellent documentaries on the history,discovery, and nat geo channels.

        • MawellAxel

          Be sure of this, there will be a raiding of all 401Ks and other pension funds and most likely many people’s bank accounts as well. Be prepared for banks to declare they are broken when in reality the government has just seized them. I don’t think people realize that when you put looters in control, and that is what black people and …. well. the “untouchables and unmentionables” are, then there is looting. If one has money in the bank, one is better off to convert that into physical gold and hide it.

          • Romulus

            I keep my portfolio spread out, as ASSETS is what paper money and hard currency actually represent. I also prefer physical gold and not certificates, unless as a long-term investment strategy. For example, if the govt pulls a “Crete” here, things that are actual will have value. Gold, silver,land,water, seeds,bullets,whiskey,seeds, etc. Anything that one can use for sustainability or for use in bartering. Even if what we’re experiencing is a long ,slow crash, it is always better to be prepared. Lest we forget what the people of hurricane sandy and Katrina went through without the access of basic services.

  • APaige

    So the ‘please give us money bus tour’ was canceled because of the ‘we are not responsible for you getting killed on said bus tour’? That is just so…’Black’.

  • Let’s see: Detroit wants these creditors to help the keep open sewer from having to file bankruptcy, and not only won’t provide adequate protection, but also insisted the creditors sign a waiver as a condition of the bus tour.

    The old adage about “throwing good money after bad” comes quickly to mind.

  • So CAL Snowman

    “The tour required creditors to sign a waiver indemnifying the city if
    anyone was injured or killed during the roughly three-hour trip.”

    As Paul Kersey of SBPDL said, “What is this, Jurassic Park?”

    • Strider73

      Not a chance. The dinosaurs were far more civilized.

  • dd121

    Are they going to make the movie: “Fools on a Bus”?

  • The__Bobster

    The tour required creditors to sign a waiver indemnifying the city if anyone was injured or killed during the roughly three-hour trip.
    _______

    Wow, that’s a real deal sweetener if I ever saw one.

  • I would gladly go to a place with a big bunch of other white people for a $100 house if the place offered decent jobs.

    • evilsandmich

      Quicken Loans was advertising in Cleveland trying to get people to move out Detroit to fill jobs (the word ‘Detroit’ was not mentioned in the ads, BTW). I wouldn’t bet on that horse though with the impending end of ZIRP. More than likely you would be working in one of the suburbs.

  • Joseph Bryant

    If I were made Dictator of the United States tomorrow, I’d carry out an experimential plan for the revitalization of Detroit.

    First I’d evict all convicted felons from the city and put them in prison for life, and evict whoever remains from the city limits. After permanently terminating the present city government, I’d start a federal program to re-settle every poor Appalachian White family in every economically isolated, declining coal town in West Virginia and Eastern Kentucky to Detroit and give each family a neglected home with a small government-backed loan to fix it up.

    I’d bet within 20 or 25 years after that Detroit would be a great city again.

  • Joseph Bryant

    On a more serious note, I get angry whenever some idiot talking head uses Detroit as an example of “American decline” or says it reached this state because “the domestic auto industry collapsed”.

    Total nonsense. Go to Grosse Pointe. Go to Allen Park. Go to Royal Oak, to Ferndale, to Eastpointe, Dearborn, Livonia, Sterling Heights, and any other Detroit suburb you can name. Despite the hardships of our domestic auto industry and the rigors of the globalized economy, they’re still great places to live and raise a family. Not to mention these towns still have the highest concentration of automotive engineering talent anywhere on Earth.

    Detroit isn’t about American decline or the rigors of the global economy, no. It’s just yet another sad case study of what happens to any locality after it reaches a tipping point of having a certain race in its population.

    • MBlanc46

      I know what you mean. I’ve been to Plymouth, Livonia, and nearby areas many times. They’re prosperous, clean, and appealing. The city of Detroit, alas, has been abandoned to the descendents of the former African slaves, and that’s a tragedy. But what one might call “white Detroit”, the suburbs to which the whites fled, is still a going concern.

  • KenelmDigby

    It sounds more like a bus tour of some failed central American state than the USA.

    • Jim Henry

      It IS a failed central American state-Michican.

  • MawellAxel

    This site should just be called ” SBPDL and Chimpout abridged version”

    • MBlanc46

      So, discussion of black behavior is to be suppressed? We’re not to have an “honest discussion about race” after all?

      • Sloppo

        If we can’t have an honest discussion about race, Eric Holder might keep calling us a “nation of cowards”. I’m pretty sure Mr. Holder would like for us to have more discussions about the information in the publication entitled “The Color of Crime”.

        • MBlanc46

          I’m sure he would.

  • WR_the_realist

    I would feel no pity for the creditors dumb enough to loan money to Detroit, except that I am certain that many of them are actually managing pension funds. So many decent hard working people have unwittingly invested in the Detroit city government.

    • I had my 401(k) diversified into various managed funds, but I rolled everything I had in the “bonds & mortgages” fund into the others before the subprime loan poop hit the fan. I wasn’t worried about municipal bonds at the time, but I could see the speculative real-estate boom for exactly what it was. The fact that I am no longer exposed to the municipal bond market is just a lucky accident, but delightful nonetheless.

  • WR_the_realist

    No, their heirs would still be owed the money. And most of the creditors are probably money managers who are running pension funds and the like. The debt will still be owed to the pension funds. Good luck collecting it, though.

  • Alexandra1973

    If they want to go on a Detroit safari they need a vehicle that’s armor-plated. Kinda like the Popemobile.