Economics
N.J. Agency to Issue $2 Billion of Debt to End Swaps
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New Jersey’s Economic Development Authority plans to issue as much as $2 billion of bonds early next month to refinance school-construction debt and terminate $1.7 billion of interest-rate swaps.
The agency will pay an estimated $296 million to end the swaps, which it entered into beginning in 2002. The refinancing will save the state about $278 million in debt payments, which will cover all except $18 million of the termination fees, said Andrew Pratt, a spokesman for Treasurer Andrew Sidamon-Eristoff.