.... Even if the authority succeeds in avoiding a lump sum payment, it is required to pay UBS $2.2 million per month as a result of changes in the credit market. When originally signed, the authority got $29 million in cash to pay Big Dig debts from the UBS deal. --more--"
Also see: The Big Pit
Of course, then this asshole government turned OUR PROPERTY over to BANKS so they could LEASE the STUFF BACK TO US with INTEREST!!
"In the 1990s, the T and other transit agencies were encouraged by federal officials to sell their train equipment to banks and then lease it back. The arrangement brought the T $53 million in upfront payments. In return, the private banks realized a tax benefit"
"The authority was attempting to renegotiate terms of a complex financial deal with the banking giant UBS. Known as a swaption, the arrangement could force the authority to pay out a $450 million lump sum"
NOT a GOOD IDEA at all!!! Thanks, Bill Clinton!
"During the go-go investing years, school districts, transit agencies, and other government entities were quick to jump into the global economy, hoping for fast gains to cover growing pension costs and budgets without raising taxes. Deals were arranged by armies of persuasive financiers who received big paydays. But now, hundreds of cities and government agencies are facing economic turmoil"Yup, but the government is looking out for YOUR BEST INTERESTS, right, Amurkn? Why do you STILL BELIEVE THAT?
