Buybacks have gotten a bad rap from both Republicans and Democrats. But stocks would be trading at a massive discount without them.Marketsread more
Fiat Chrysler and France's Renault could soon partner up to take on the sweeping changes to the global auto industry, according to a report in the Financial Times. The...Autosread more
Microsoft shares have gained 133% since November 2015, outperforming a tech "basket of unicorns" over that stretch.Technologyread more
The president's state visit comes amid tensions with carmaker Toyota over potential auto tariffs. Trump has repeatedly threatened Japanese and European carmakers with tariffs.Traderead more
The IRS is about to release a new draft of Form W-4, which will more closely reflect the changes stemming from the Tax Cuts and Jobs Act. For workers, that means they'll need...Personal Financeread more
When commercial real estate investor Manny Khoshbin spent $2.2 million on the fastest production car in the world, he had no idea it would very quickly also become the...Autosread more
The Mega Millions jackpot has spilled over $400 million. It would be the ninth largest winning since the game began in 2002.Personal Financeread more
Trump was speaking at a meeting of Japanese business leaders in Tokyo during his state visit to Japan on Saturday.Marketsread more
The biggest U.S. gasoline price surge in years is running out of steam just in time for the start of the summer driving season.Energyread more
The federal minimum wage has remained $7.25 per hour since 2009. But several states, and even some companies, have since taken matters into their own hands to pay employees a...Workread more
Stocks rose on Friday, but notched weekly losses as investors worried the U.S.-China trade war is hurting economic growth.US Marketsread more
Cuts to Detroit's public pensions and retiree healthcare were inevitable given the city's sagging finances, a top consultant for the city testified on Friday during the third day of a trial to determine whether the city is eligible for bankruptcy.
Money owed to Detroit workers and retirees is a key factor in the case, which will also hear testimony by Kevyn Orr, Detroit's state-appointed emergency manager. Orr is expected to explain efforts to negotiate with the city's numerous creditors, including retirees and pension funds, before deciding to file for the largest-ever Chapter 9 municipal bankruptcy on July 18.
A key claim made by attorneys representing the city's unions, retirees and pension funds is that Orr and his team were intent on filing for bankruptcy and did not make best efforts to negotiate with them prior to the bankruptcy filing. They also claim that plans to cut pensions would violate the Michigan Constitution.
(Read more: Bankrupt Detroit needs to cut red tape: Kid Rock)
On Friday, city financial consultant Kenneth Buckfire said he did not have to recommend to Orr that pensions for the city's retirees be cut as a way to help Detroit navigate through debts and liabilities that total $18.5 billion.
Buckfire said it was clear that the city did not have the funds to pay the unsecured pension payouts without cutting them.
"It was a function of the mathematics," said Buckfire, who said he did not think it was necessary for him or anyone else to recommend pension cuts to Orr.
"Are you saying it was so self-evident that no one had to say it?" asked Claude Montgomery, attorney for a committee of retirees that was created by Rhodes.
"Yes," Buckfire answered.
Buckfire, a Detroit native and investment banker with restructuring experience, later told the court the city plans to pay unsecured creditors, including the city's pensioners, 16 cents on the dollar. There are about 23,500 city retirees.
(Read more: The best retirement investment you can't have)
On Thursday, Buckfire was questioned by attorneys from Jones Day, the city's attorneys in the bankruptcy filing and Orr's former employer.
This portion of the trial is to determine whether the city is eligible to undergo Chapter 9 restructuring. To qualify for bankruptcy, Detroit must prove the city is insolvent and that it negotiated in good faith with creditors, or that there were too many creditors for negotiations to be feasible. The city also must prove it desires to enact a restructuring plan.
U.S. District Court judge Steven Rhodes, presiding over the trial expected to last at least through next Tuesday, is not expected to rule until at least mid-November whether the city is eligible to undergo restructuring in bankruptcy.
If Orr does not testify on Friday, he may do so on Monday, when Michigan Governor Rick Snyder also is expected to take the stand.
Rhodes is not expected to decide on the eligibility issue until at least Nov. 13, which is the date for attorneys from both sides to file with Rhodes documents explaining defending their notions of what constitutes "good faith" negotiations.
The city has said about half of its liabilities stem from retirement benefits, including $5.7 billion for healthcare and other obligations, and $3.5 billion involving pensions.
As the cross-examination of Buckfire began Friday morning, Bill Nowling, press secretary for Orr, said on Twitter, "the journey up the River Denial continues for union and creditors attorney(s)."
Buckfire said the city did not consider the state constitution's protection of pensions in creating its restructuring proposal presentation to creditors on June 14.
We did give it some weight, but did not deem it relevant, " Buckfire said.
(Read more: Barclays to give Detroit $350 million in financing)
UAW attorney Peter DeChiara and Montgomery, the retirees committee lawyer, made arguments on Friday morning to Rhodes that Buckfire's testimony should not be allowed because he was not deemed an expert witness by the court.
Rhodes ruled that Buckfire's testimony would be allowed, in part because he had become an expert after in-depth study of the city's financial status.