The Puerto Rico Aqueduct and Sewer Authority has extended Bond Anticipation Notes due to two banks by two months.
It has done this to gain some additional time to prepare a large bond for sale this spring.
PRASA chief financial officer Efraín Acosta told The Bond Buyer that Banco Popular and Oriental Bank had agreed to extend the maturity of $150 million of the $200 million note to May 31 from March 31.
PRASA has already paid $40 million to the banks. It will pay $5 million on April 1 and an additional $5 million on May 1.
In mid-February Acosta said PRASA planned to sell a large bond by the end of March but that it could be delayed to April or May. The bond would be "much bigger" than $200 million, Acosta said. It would not only take out the BANs but also provide money for the next 12 to 18 months of capital spending.
