Foundations Working on Deal to Protect Detroit Pensioners, Art Museum

From the Ford Foundation to the Foundation for Southeast Michigan

The mediator in Detroit's federal bankruptcy case announced Monday that local and national foundations have pledged $330 milliontoward an effort to shore up Detroit's ailing pensions funds and to protect artwork at the Detroit Institute of Arts.

U.S. Chief District Judge Gerald Rosen's statement made clear that the pledges do not by themselves mean that pensions and DIA art are now beyond the reach of creditors. Rather, the commitments are intended and expected to play a part in what Rosen's statement called "an overall balanced settlement of disputes in the bankruptcy."