Buffett presta 1.3 md a CenterPoint - gz
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By: GZ on Venerdì 08 Novembre 2002 16:36
Ufff... Berskshire, la società attraverso cui opera Warren Buffett presta oggi 1.3 miliardi di $ a CenterPoint Energy Inc. (CNP) (che prima si chiamava Reliant).
CNP è una delle utilities sbudellate nei mesi scorso, del tipo di Calpine, El Paso, Dynegy e compagnia
Cominciava a temere il peggio, ma qui sembra di essere nel giusto (+16% ieri)
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N.B. metto qui notizie rilevanti su titoli discussi o nel forum o negli articoli a cui fare riferimento successivamente
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CenterPoint Energy Houston Elec Gets $1.3B Financing
DOW JONES NEWSWIRES
HOUSTON -- CenterPoint Energy Inc. (CNP) confirmed that Berkshire Hathaway Inc. (BRKB) and Credit Suisse Group's (CSR) Credit Suisse First Boston agreed to provide the company's electric utility unit with a three-year, $1.31 billion senior secured credit line.
This credit enables the company to meet a requirement of its $4.7 billion credit facilities from a syndicate of 30 banks, which carries a steeper interest rate than the company's previous credit line. It also requires repayment of $1.2 billion by June, The Wall Street Journal reported in its Friday editions.
The credit has an interest rate of LIBOR plus 9.75%, subject to a minimum LIBOR rate of 3%. The credit is secured by second mortgage bonds of the electric utility unit.
In a press release Friday, CenterPoint said it will use proceeds from the latest credit line to repay $850 million of bank loans to its CenterPoint Houston Electric LLC unit for the repayment of $400 million of debt, including $300 million of senior debentures of its finance unit due to mature Nov. 15, and $100 million of debt of another unit, as well as fees and related expenses.
CenterPoint, which recently changed its name from Reliant Energy Inc., expects to close the financing Tuesday.
Earlier this week, the company had its rating downgraded by Moody's Investors Service to a junk status based on its recent credit agreements. The company maintains an investment-grade rating by Standard & Poor's.
Company Web site: http://www.centerpointenergy.com
-Jason Philyaw; Dow Jones Newswires; 201-938-5400
Edited by - gz on 11/8/2002 15:37:38