On a recent Monday, restructuring banker Elizabeth Abrams was on a conference call negotiating for hedge fund creditors ahead of the $50 billion bankruptcy of Energy Future Holdings Corp. She happened to be sitting in a hotel conference room in San Juan, Puerto Rico -- where she’s advising the government on addressing $73 billion in debt.
Jim Millstein, the U.S. Treasury Department’s former chief restructuring officer who helped oversee the bailouts of American International Group Inc. and Citigroup Inc., is forming a turnaround advisory firm.
Puerto Rico’s record $3.5 billion sale of junk-rated municipal debt buys the struggling U.S. territory at least 15 months of financial breathing room. It took demand from hedge funds to get the deal done.
Miller Buckfire & Co., under pressure to recruit senior-level bankers after the retirement of co-founder Henry Miller and other departures, is in discussions with Jim Millstein, the U.S. Treasury Department’s former chief restructuring officer, said two people familiar with the matter.