From time to time, I'll use this as a venue to explain what happened today in court, in layman's terms.

When a person or company files for bankruptcy, a particular clause of the Bankruptcy Code provides for a "stay" of any litigation, court proceedings, collection attempts, even contact in an attempt to collect a debt. "Stay" means freeze--the actions are frozen, not cancelled, until the Bankruptcy Court says otherwise.

The issue before the Bankruptcy Court was whether to stay the state court litigation in Ingham County during the bankruptcy proceeding. The judge ordered the stay, meaning that the litigation in Ingham County must stop, not that either side in that litigation was the winner.

So, if the pensioners want to argue that the bankruptcy filing was improper, they cannot file state court litigation; they must file a motion in the bankruptcy court. I'm sure they will.

This ruling does not mean that the bankruptcy filing was proper, just that the venue for hearing that issue is the bankruptcy court.

Also, the judge is allowed to include related parties, and he chose to do so. The state court litigation didn't name the City of Detroit, but it did name Gov. Snyder and Mr. Orr. That litigation, and other litigation against them about the bankruptcy, is also stayed.

This is nowhere near a ruling that pensions may be cut in bankruptcy. That won't happen until a plan is proposed, and if or when an objection is had to those plans. Pensioners will have to consider whether they want to take the risk of objecting. Win, and you get 100%. Lose, and you will get less than you can get by consenting.

Once again, I am happy to take questions.