March 10, 2014

Detroit Pensioners and Selling Art From DIA

I have to defend Mark White. He advocated using DIA art long before the rest of us realized its potential. I applaud him for that.

There is a question in my mind as to whether there is significant value in the art to be able to sell it all
with a result that pensioners are better off than with the current proposal on the table of getting almost $1 billion from foundations and the state and allocating all of those funds to help the retirees. Further remember the state portion of the $1 billion is a loan to the city to be paid back over time.

If instead the decision is made to sell all of the art the proceeds from that sale would be distributed to all creditors and would the retirees share be greater than $1 billion?

This is why a second appraisal is needed.

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