Bond Swap Payments Indiana Is Making To Goldman Sachs

[ClydeCoulter]

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The transaction shows how borrowers in the $3.6 trillion municipal-bond market are still extricating themselves from the contracts after the financial crisis caused the deals to backfire. Issuers have paid at least $9 billion to unwind the transactions, which are agreements to exchange floating interest payments for fixed, according to data compiled by Bloomberg.
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They pay $71 million for this, but then they turn around and tell us they don’t have enough money for streets and sidewalks and sewer lines.

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more at: http://advanceindiana.blogspot.com/2015/05/bloomberg-reports-outrageous-bond-swap.html?spref=fb

 

[Zippyjuan]

If interest rates had risen they could have potentially saved millions but rates did not go up.

 

[oyarde]

Sidewalks are kind of a luxury item.