Stockton to Pay $5.1 Million to Settle Health Benefit Claims

In the chapter 9 bankruptcy of Stockton, California, the city will pay $5.1 million in a settlement with retired employees on account of lost health benefits.  The settlement is part of the city's reprganization plan.  The settlement tepresents 2% of the value of the lost benefits, but it preserves their pensions.  The retirees will have the opportunity to vote on the plan.