New York's Metropolitan Transportation Authority plans to keep $1.35 billion of auction-rate securities in auction mode indefinitely because it is cheaper than the alternatives, chief financial officer Gary Dellaverson said yesterday at the MTA's monthly finance meeting.

"We don't have a goal of getting out of the auction rate," Dellaverson said. "Where the penalty resets are less than where the substitute debt would be, we've made a judgement to keep those in place for now."

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