Font Size

Boston Area News

E-mail

Close Window E-mail This Page

Turnpike May Have To Repay $450 Million In Loans

Required fields are marked with an asterisk(*)

Recipient E-mail:*
- Your Name:*
- Your E-mail:*
Add a Message:
Send me a copy of this e-mail.

Type the characters in this picture:*

Click here to refresh with new letters

The information you provide will be used only to send the requested e-mail and will not be used to send any other e-mail communications. Read more in our Privacy Policy

Send E-mail

Print Share + Comments

Nov 25, 2008 7:49 am US/Eastern

Turnpike May Have To Repay $450 Million In Loans

BOSTON (AP) ―

Click to enlarge 1 of 1: AP

Close

numSlides of totalImages

The financially struggling Massachusetts Turnpike Authority could soon have to repay nearly $450 million in loans.

The money has to do with credit swap deals the agency arranged almost a decade ago. Those deals also established termination fees that rise and fall based on market conditions.

Turnpike Executive Director said Alan LeBovidge said Monday in a statement that the agency would have to pay $353 million in loans if the credit rating of the insurer of some loans from UBS is downgraded.

Another $76 million loan from bankrupt Lehman Bros. would have to be paid if the authority's credit rating drops.

The turnpike's board recently approved toll hikes to deal with the agency's debts.