It’s Official: Stockton Becomes Biggest US City To Declare Bankruptcy

Stockton Becomes Biggest US City To Declare Bankruptcy (It’s Official) (ZeroHedge, April 1, 2013):

A mere nine months after we first discussed the inevitability of Stockton, CA.’s bankruptcy, a judge has ordered today that the city will now become the most populous in the US to be declared bankrupt.

  • *STOCKTON CREDITORS DIDN’T NEGOTIATE IN GOOD FAITH, JUDGE SAYS

Creditors are pushing to get the city out of bankruptcy but the judge states that “by any measure” the city was insolvent. So, in summary, yeah, it was broke years ago, it still is broke – despite the best efforts by the Central Planning Reserve to reflate the same housing bubble that was the primary reason for the city’s insolvency in the first place. Only this time, it’s official!

Via Reuters:

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These 12 Hellholes Are Examples Of What The Rest Of America Will Look Like Soon

These 12 Hellholes Are Examples Of What The Rest Of America Will Look Like Soon (The Economic Collapse, July 15, 2012):

Do you want to see where this country is headed?  If so, don’t focus on the few areas that are still very prosperous.  New York City has Wall Street, Washington D.C. has the federal government and Silicon Valley has Google and Facebook.  Those are the exceptions.  The reality is that most of the country has been experiencing a slow decline for a very long time and once thriving cities such as Gary, Indiana and Flint, Michigan have become absolute hellholes.  They are examples of what the rest of America will look like soon.  60 years ago, most Americans were decent, hard working people and there were always good jobs available for anyone that was willing to roll up his or her sleeves and put in an honest day of work.  But now all of that has changed.  Over the past decade, tens of thousands of manufacturing facilities have shut down and millions of jobs have left the country.  Cities such as Cleveland, Baltimore and Detroit were once shining examples of everything that was right about America, but now they stand out like festering sores.  The “blue collar cities” have been hit the hardest by the gutting of our economic infrastructure.  There are many communities in America today where it seems like all of the hope and all of the life have been sucked right out of them.  You can see it in the eyes of the people.  The good times are gone permanently and they know it.  Unfortunately, the remainder of the country will soon be experiencing the despair that those communities are feeling.

The following are 12 hellholes that are examples of what the rest of America will look like soon….

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Stockton To File For Bankruptcy, Will Be Largest U.S. City To Fail

Stockton to file for bankruptcy, will be largest U.S. city to fail (Los Angeles Times, June 26, 2012):

STOCKTON — This Gold Rush-era port city, an epicenter of California’s agricultural exports, will become the nation’s largest city to seek protection under the U.S. bankruptcy code after its City Council on Tuesday stopped bond payments, slashed employee health and retirement benefits and adopted a day-to-day survival budget.

City Manager Bob Deis likened the process to cutting off an arm to save the body. He is expected to file bankruptcy papers immediately.

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