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Met Ed gets reprieve: banks lend tax money

Journal Article · · Electr. Light Power; (United States)
OSTI ID:6530466

A consortium of banks agreed to loan Metropolitan Edison $23 million to pay its April 15 state taxes and temporarily relieve a cash-flow problem that is leading to default after the Pennsylvania Public Utility Commission expedited a rate request. The continued solvency of Met Ed is a matter of speculation because the present credit formula is based on liquid assets which the PUC did not address. While the action taken by the bankers gives Met Ed a reprieve, it does not provide a long-term solution. The Revolving Credit Agreement will expire on October 1. Met Ed is still faced with the problem of relicensing Three Mile Island-1 unit and the cost of underwriting the cleanup of the No. 2 unit. (DCK)

OSTI ID:
6530466
Journal Information:
Electr. Light Power; (United States), Journal Name: Electr. Light Power; (United States) Vol. 59:5; ISSN ELLPA
Country of Publication:
United States
Language:
English