Federal judge could rule during hearing on bankrupt California city's plan to reorganize debt
A federal judge could rule on a bankruptcy exit plan for Stockton, the largest city in California to seek Chapter 9 protection.
U.S. Bankruptcy Judge Christopher Klein has scheduled a hearing Wednesday in Sacramento in a trial that has lasted more than four months.
Connie Cochran, a Stockton spokeswoman, says the city is looking forward to exiting bankruptcy.
It's asking Klein to approve Stockton's plan for reorganizing more than $900 million in long-term debt, while Franklin Templeton Investments wants the judge to reject it.
The city has reached deals with all of its major creditors, except for Franklin, which took Stockton to trial.