Alabama county files exit plan to end $4.2 billion bankruptcy

Alabama's Jefferson County on Sunday filed a negotiated restructuring plan to wind up America's largest municipal bankruptcy and lock in losses of as much as 70 cents on the dollar for JPMorgan Chase and other Wall Street creditors.

The court filing is the latest chapter in a long saga of corruption and mismanagement of public finances that brought the most populous county in the southern U.S. state of Alabama to ask for creditors' protection in November 2011.

(Reporting By Michael Connor in Miami; Editing by Doina Chiacu)