DETROIT (AP) — A judge urged Detroit and its creditors tokeep negotiating Thursday in a 150-page
opinion that mimics his decisionearlier this week that the city is eligible for a makeover inbankruptcy
court.Judge Steven Rhodes didn’t break new groundsince announcing the decision Tuesday during a 90-minute
address to apacked courtroom. But a written opinion was necessary, especially forunions and pension funds
that are pursuing appeals.Rhodes saidDetroit is eligible for Chapter 9 protection because the city is
brokeand any negotiations with thousands of creditors before the July filingwould have been impossible. As
part of his ruling, he found pensions arelike any other contract and can be broken in bankruptcy,
despiteprotections in the Michigan Constitution.Detroit emergencymanager Kevyn Orr has said the city can’t
afford $18 billion inlong-term debt, including a $3.5 billion shortfall in two pension funds.Pensions for
23,000 retirees could be cut. Private mediation betweenthe city and creditors has been going on for weeks
but now has a moreurgent tone."The court reminds all interested parties that thiseligibility
determination is merely a preliminary matter in thisbankruptcy case. … The court strongly encourages the
parties to beginto negotiate, or if they have already begun, to continue to negotiate,with a view toward a
consensual plan," Rhodes said.The judge hasn’t responded yet to requests that the 6th U.S. Circuit
Court of Appeals immediately take the case.___Online:Judge’s opinion: http://1.usa.gov/1jrHj1PCopyright 2013 The Associated
Press. All rightsreserved. This material may not be published, broadcast, rewritten orredistributed.DETROIT
(AP) — A judge urged Detroit and its creditors tokeep negotiating Thursday in a 150-page opinion that mimics
his decisionearlier this week that the city is eligible for a makeover inbankruptcy court.Judge Steven
Rhodes didn’t break new groundsince announcing the decision Tuesday during a 90-minute address to apacked
courtroom. But a written opinion was necessary, especially forunions and pension funds that are pursuing
appeals.Rhodes saidDetroit is eligible for Chapter 9 protection because the city is brokeand any
negotiations with thousands of creditors before the July filingwould have been impossible. As part of his
ruling, he found pensions arelike any other contract and can be broken in bankruptcy, despiteprotections in
the Michigan Constitution.Detroit emergencymanager Kevyn Orr has said the city can’t afford $18 billion
inlong-term debt, including a $3.5 billion shortfall in two pension funds.Pensions for 23,000 retirees could
be cut. Private mediation betweenthe city and creditors has been going on for weeks but now has a moreurgent
tone."The court reminds all interested parties that thiseligibility determination is merely a
preliminary matter in thisbankruptcy case. … The court strongly encourages the parties to beginto
negotiate, or if they have already begun, to continue to negotiate,with a view toward a consensual
plan," Rhodes said.The judge hasn’t responded yet to requests that the 6th U.S. Circuit Court of
Appeals immediately take the case.___Online:Judge’s opinion: http://1.usa.gov/1jrHj1PCopyright 2013 The Associated
Press. All rightsreserved. This material may not be published, broadcast, rewritten orredistributed.