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We start -- breaking news tonight the city of Detroit filing for bankruptcy just moments ago this is the largest municipal bankruptcy.
In the history of our country and make no mistake there -- implications for every town it every city in America this affects you.
Let's go right to former Detroit mayor Dennis Archer for more are you surprised it has come to this -- Surprise and I'm surprised that it came so quickly.
The emergency financial manager.
And his team was forced.
Go into bankruptcy by a firing of -- lawsuit yesterday.
The general fund and the police and fire.
Filing a lawsuit naming the governor and the intrinsic financial manager saying that the government did not have the right.
To give the emergency financial manager.
The ability going to bankruptcy because -- penchant constant -- to -- about a big constitution.
You and I have talked about this a number of times and we have disagreed on the path here.
It's incredible that it has ultimately come to this -- on a long time ago that if you can get everyone in a room.
That they would come to an agreement because bankruptcy was gonna be so painful and so difficult for this city what went.
I don't think that he -- Unions were prepared.
To come to the table with the same kind of mindset.
The president of the international.
UAW have bought king his executive committee and ultimately their membership.
In terms of wanting to make sure that the automobile industry was preserved and they acquiesced.
And worked we have the OEMs and suppliers.
In an effort to give the General Motors.
And Chrysler and then of course Ford Motor Co.
would benefit by.
The opportunity to.
Grow again and so with the unions have seen UAW has seen is that.
Their membership has grown and the benefits are coming back and in what's occurring -- the bonuses.
Being paid to their membership in the instance with the city unions this city unions did not.
He used the same approach -- go into the discussions with the same approach.
Mayor I make sure we hear you correctly because every other time we've talked about this.
You've been very sympathetic to what's going on with the unions and and pensions -- it sounds like.
Your belief -- them now.
Not blaming -- about what I am saying is is that they have force the issue.
They pension fund to force the issues not the not the -- may not the other not the Teamsters and not the other unions.
They've they've been at the table want to be at the table but the pension funds.
Decided that they were gonna move and move forward and start -- -- lawsuit to -- mood.
The governor and be.
Emergency financial manager.
Starting owed -- at some point going into bankruptcy and that's forced.
The emergency financial manager to move forward and what this -- just to put on hole.
The case that was going to be argued before a judge in.
To determine whether or not.
Be a temporary restraining order ought to be issued so it was it was forced.
They are I want you put yourself back in issues of the mayor not former mayor your mayor again.
Isn't this the death knell for this city is really -- -- start -- is it a fresh start it.
-- absolutely fresh start to date for example not.
Confirmed it but today.
Dan Gilbert who is a principal owner.
The Cleveland Cavaliers and who has it.
Purchased since the beginning of the year.
Office buildings in downtown Detroit to -- was to have a press conference where he was going to offer to purchase.
The -- east Wayne county jail and two other jails -- and a court facility.
To and -- -- it will be torn down and they'll be a brand new streets -- brand new investment in terms of retail residential itself -- for the city Detroit and that businesses continue to invest in the city of Detroit.
And they're not going to be at all.
Deterred from and that helps -- participating and what I think what happened -- I'm correct yeah I think -- happen.
Is that at the end of the day other cities in the United States will be coming to the city of Detroit to find out.
How you ruled did it I -- -- what are what occurred and why did you -- it turned around when I hope.
They did that result from all of this is that the bondholders.
And and others who -- -- other creditors.
Who will have to take somewhat of -- haircut and I'm sure it'll be everyone's gonna have to -- You -- taken place but this city of Detroit will move forward.
And we will see you won't find this city tour to be the ideal place to come visit to do business in the -- Mayor thank you so much for coming on really things you -- time and and best of blocked definitely you.
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