UNITED STATES DISTRICT COURT 

FOR THE DISTRICT OF PUERTO RICO

In re:

The Financial Oversight and Management Board for 

Puerto Rico, 

as representative of

The Commonwealth of Puerto Rico, et al.,

Debtors.1

PROMESA

Title III

Case No. 17-3283-LTS

Court Filing Relates Only to 

PREPA

In re:

The Financial Oversight and Management Board for 

Puerto Rico, 

as representative of

The Puerto Rico Electric Power Authority,

Debtor.

PROMESA

Title III

Case No. 17-4780-LTS

(Jointly Administered)

RESPONSE OF THE AD HOC GROUP OF PREPA BONDHOLDERS, 

ASSURED GUARANTY CORP., ASSURED GUARANTY MUNICIPAL CORP., 

AND SYNCORA GUARANTEE INC. TO THE

MEDIATION TEAM’S THIRD NOTICE AND REPORT [ECF No. 3159]

The Ad Hoc Group of PREPA Bondholders (the “Ad Hoc Group”), Assured 

Guaranty Corp. and Assured Guaranty Municipal Corp. (“Assured”), and Syncora Guarantee Inc. 

(“Syncora,” and together with Assured and the Ad Hoc Group, the “PREPA Bondholders”) hereby

1 The Debtors in these Title III Cases, along with each Debtor’s respective Title III case number and the last four (4) 

digits of each Debtor’s federal tax identification number, as applicable, are the (i) Commonwealth of Puerto Rico 

(Bankruptcy Case No. 17 BK 3283-LTS) (Last Four Digits of Federal Tax ID: 3481); (ii) Puerto Rico Sales Tax 

Financing Corporation (“COFINA”) (Bankruptcy Case No. 17 BK 3284-LTS) (Last Four Digits of Federal Tax ID: 

8474); (iii) Puerto Rico Highways and Transportation Authority (“HTA”) (Bankruptcy Case No. 17 BK 3567-LTS) 

(Last Four Digits of Federal Tax ID: 3808); (iv) Employees Retirement System of the Government of the 

Commonwealth of Puerto Rico (“ERS”) (Bankruptcy Case No. 17 BK 3566-LTS) (Last Four Digits of Federal Tax 

ID: 9686); and (v) Puerto Rico Electric Power Authority (“PREPA”) (Bankruptcy Case No. 17 BK 4780-LTS) (Last 

Four Digits of Federal Tax ID: 3747) (Title III case numbers are listed as Bankruptcy Case numbers due to software 

limitations).

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respectfully submits this response to the Mediation Team’s Third Notice and Report [Case No. 17-

4780-LTS, ECF No. 3159] (the “Notice and Report”).2

1. As this Court is well aware, the Oversight Board was tasked with a strict directive 

to put forth a confirmable plan by December 1, 2022 (later extended to December 16, 2022). See

November 2, 2022 Hr’g Tr. 18:4-14 [Case No. 17-03283, ECF No. 22836] (“I don’t expect to see 

a place holder filed on December 1. . . . [I]f the requirement to file a confirmable plan . . . isn’t met 

every possible way of reacting to that will be on the table”). The Court further stated its 

expectation for the mediation process to produce a confirmable plan that is the product of 

“substantive engagement” with PREPA bondholders and other parties. Id. at 18:8-14.

Unfortunately, that did not happen.

2. Instead, the Oversight Board elected to pursue a misguided and wasteful litigation 

at the expense of a consensual resolution of PREPA’s Title III Case. As the Mediation Team 

indicated in the Notice and Report, there have been no substantive mediation discussions between 

the PREPA Bondholders and the Oversight Board since December 16. Nonetheless, if at some 

point the Oversight Board is ready to negotiate in good faith to actually try to reach a deal with 

bondholders, then the PREPA Bondholders would be willing to go back into mediation. 

3. Therefore, the PREPA Bondholders have no objection to the Mediation Team’s

requested extension of the Termination Date to and including April 28, 2023, and remain open to 

engaging in constructive dialogue.

[Remainder of Page Intentionally Left Blank]

2 Capitalized terms used but not otherwise defined herein shall have the meanings ascribed to such terms in the Notice 

and Report.

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Dated: San Juan, Puerto Rico

January 26, 2023

TORO COLÓN MULLET P.S.C.

/s/ Manuel Fernández-Bared

Manuel Fernández-Bared

USDC-PR No. 204,204

P.O. Box 195383

San Juan, PR 00919-5383

Tel.: (787) 751-8999

Fax: (787) 763-7760

E-mail: mfb@tcm.law

/s/ Linette Figueroa-Torres

Linette Figueroa-Torres

USDC-PR No. 227,104

E-mail: lft@tcm.law

/s/ Nayda Perez-Roman

Nayda Perez-Roman

USDC–PR No. 300,208

E-mail: nperez@tcm.law

Counsel for the Ad Hoc Group of PREPA 

Bondholders

KRAMER LEVIN NAFTALIS & 

FRANKEL LLP

/s/ Amy Caton

Amy Caton*

Thomas Moers Mayer*

Alice J. Byowitz*

1177 Avenue of the Americas

New York, New York 10036

Tel.: (212) 715-9100

Fax: (212) 715-8000

Email: acaton@kramerlevin.com

tmayer@kramerlevin.com

abyowitz@kramerlevin.com

Gary A. Orseck*

Matthew M. Madden*

2000 K Street NW, 4th Floor

Washington, DC 20006

Tel: (202) 775-4500

Fax: (202) 775-4510

Email: gorseck@kramerlevin.com

mmadden@kramerlevin.com

*Admitted Pro Hac Vice

Counsel for the Ad Hoc Group of PREPA 

Bondholders

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CASELLAS ALCOVER & BURGOS P.S.C.

By: /s/ Heriberto Burgos Pérez

Heriberto Burgos Pérez

USDC-PR 204809

Ricardo F. Casellas-Sánchez

USDC-PR 203114

Diana Pérez-Seda

USDC-PR 232014

P.O. Box 364924

San Juan, Puerto Rico 00936-4924

Telephone: (787) 756-1400

Facsimile: (787) 756-1401

Email: hburgos@cabprlaw.com

rcasellas@cabprlaw.com

dperez@cabprlaw.com

Attorneys for Assured Guaranty Corp. and 

Assured Guaranty Municipal Corp.

CADWALADER, WICKERSHAM & 

TAFT LLP

By: /s/ Howard R. Hawkins, Jr.

Howard R. Hawkins, Jr.*

Mark C. Ellenberg*

William J. Natbony*

Thomas J. Curtin*

Casey J. Servais*

200 Liberty Street

New York, New York 10281

Telephone: (212) 504-6000

Facsimile: (212) 504-6666

Email: howard.hawkins@cwt.com

mark.ellenberg@cwt.com

bill.natbony@cwt.com

thomas.curtin@cwt.com

casey.servais@cwt.com

* Admitted pro hac vice

Attorneys for Assured Guaranty Corp. and 

Assured Guaranty Municipal Corp.

REICHARD & ESCALERA

By: /s/ Rafael Escalera

Rafael Escalera

USDC-PR 122609

escalera@reichardescalera.com

Sylvia M. Arizmendi 

USDC-PR 210714

arizmendis@reichardescalera.com

Carlos R. Rivera-Ortiz

USDC-PR 303409

riverac@reichardescalera.com

255 Ponce de León Avenue

MCS Plaza, 10th Floor

San Juan, Puerto Rico 00917-1913

QUINN EMANUEL URQUHART & 

SULLIVAN, LLP

Susheel Kirpalani (pro hac vice)

susheelkirpalani@quinnemanuel.com

Daniel Salinas

USDC-PR 224006

danielsalinas@quinnemanuel.com

Eric Kay (pro hac vice)

erickay@quinnemanuel.com

51 Madison Avenue, 22nd Floor

New York, New York 10010-1603

Co-Counsel for Syncora Guarantee, Inc.

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