joining us is laura keller. what happened? laura: basically, the governor came and said that for the payment do january 1, we will not be able to make everything. would be 13 bonds that normally do for payments and 11 of those agencies will get payments, 10 two of them at least partially will not. we wereut i thought making progress in perjury go. what happened? we are in some cases. electric authority is moving along with an agreement -- it is taking longer than a year but they are moving along with the agreement. there are all of these different get classes and right now perjury go does not have enough money to pay everything. betty: why is the governor blaming congress? laura: i think he is looking to run faster find some sort of solution. there are a couple of different ideas on the table. the treasury secretary says we need to have different types of rico.r 9 to puerto there is ideas of putting a control board together and republicans upset we would support that as long as there are certain conditions puerto rico would mea

for more i'm joined by laura keller who covers distressed debt.rto rico had almost a billion dollars of obligations do on january 1. everyone was in agreement that it would default in 2016, but we didn't know the specifics. tell us the two that it will default on. >> we knew they would do this, and it will be a small amount, but it will be significant. they will not be paying part of what is called the infrastructure authority. also, they will not be paying $1.5 million of the public finance corporation. they don't have enough cash to pay it at this point. had beenthe governor mourning for allow that the territory is running low on cash. he is holding a news conference right now. speaking in spanish, otherwise we would take it. tell us about the debt restructuring that one of the agencies in puerto rico managed to achieve just a couple days ago. they have a place where they had talked about the year-long, ongoing conversations. bond insurers did not agree to anything, but they will continue to go forward to get a finalized agreement. that would be

keller for bloomberg news, laura, thank you for joining us this morning. through the deadlines. what is coming up for puerto rico? laura: gateway first is the big deadline. -- january 1 is the big deadline. brendan: how much is due? billion. onwill have a big crescendo january 1. at that point, it is a bunch of different agencies that are supposed to be paid. the governor said, look, we don't have this money. we might run out of cash in december. some of this is posturing, they don't want to pay the bond holders. there are extraordinary measures they keep taking. they may be able to pay most of it, maybe not all of it. david: what is the difference between the $357 million in the general obligation fund, and what is due from the utilities? what options do they have? bond issuingferent agencies. each of those has its own stream of cash, its own revenues and is able to use for the different payments. you start to get into this monopoly of let me have this, let you have that, because all of the agencies are intertwined. you can't always take money from one pl

laura keller has been following all of this. we are turning to her. they --the $37 million $37 billion, what are these bonds? laura: those are two different types of bounds. the public finance corp., $1.5 million and theirs $35 million for what they call the infrastructure agencies. david: there was originally $1 billion that was coming due. does that mean that they will pay the rest? laura: yes, they will pay the rest. they have things going on with the electric authorities. $350 million for the rest of it will be paid. puerto rico wants to have an orderly default. they are in a real crisis. we've seen this happen with other countries. we have seen it happen in u.s. states as well. who is going to be the biggest opposition to puerto rico going through an orderly restructuring that will allow it to smooth out some of these issues and move past this massive debt issue? laura: those are going to be the holdout bondholders. people who bought at a higher price. there are -- who would not be favorable and accepting anything less. sometimes that could be the