Deal Reached in WPPSS Bond Offering: The...

Deal Reached in WPPSS Bond Offering: The Washington Public Power Supply System announced that Chemical Banking Corp. has agreed to drop a threatened lien against WPPSS, allowing the supply system to return to the financial markets with a proposed sale of $450 million in refinancing bonds. Under a deal approved Monday by U.S. District Judge William Browning in Tucson, WPPSS and the Bonneville Power Administration can offer bonds to help refinance--at significantly lower interest rates--the original bonds sold for the construction of WPPSS nuclear power plants 1 and 3. The proposed bond offering, expected the week of Sept. 11, would be WPPSS’ first entry into the bond market since it defaulted in 1983 on $2.25 billion in bonds.