NEW YORK--(BUSINESS WIRE)--Today the Puerto Rico Electric Power Authority (PREPA) Bondholder Group released the following statement regarding the PREPA Restructuring Support Agreement (RSA), which terminated at 12:01 am ET on June 29:
“Any claims that PREPA’s creditors did not offer to extend the RSA are false. As we have over the course of this more than three year process, we sought to be collaborative with PREPA and to work towards a mutually beneficial agreement. Unfortunately, other parties simply rejected our offer to extend the existing agreement and provide additional interim liquidity to protect against a PREPA default, with limited explanation given.
In spite of this, we remain committed to continue negotiations and find a solution to move forward together to revitalize PREPA, and our offer to relend our portion of the July 1 payment and provide $170 million in liquidity to be funded upon the conclusion of a consensual PREPA deal still stands. As such, we do not plan to legally enforce our rights unless and until a Title III process, which would simply leave us no choice.”