Puerto Rican bonds were in a lot of state level tax-exempt bond funds because they were triple tax exempt regardless of which state the owner lived in, and generally paid higher interest than traditional municipal bonds.
Currently have $73 billion in bond debt (~$20k/person). Sounded like they're hoping to cut bond coupon payments at least 75%, cut payments to folks on government pensions by at least 10%, and immediately kick all current government employees off of pension-based retirement plans.
Should be interesting to see how this turns shakes out.
https://www.nytimes.com/2017/05/03/business/dealbook/puerto-rico-debt.html?_r=0
