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Article: Concession Agreements Push West Penn Hospital Merger Ahead.
- Article from:
- The Bond Buyer
- Article date:
- March 22, 2000
- Author:
CopyrightCOPYRIGHT 2000 SourceMedia, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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The West Penn Allegheny Health System is one step closer to formation after one of its components, Allegheny General Hospital, secured "concession agreements" from its major creditors on Monday.
PNC Bank and Morgan Guaranty Trust Co. agreed to make concessions in the terms of their loans to the hospital group. The agreements will also allow WPAHS to tap a $125 million loan from HighMark Blue Cross Blue Shield.
The deal is still contingent on selling about $100 million of bonds in a negotiated deal Salomon Smith Barney Inc. is set to underwrite. However, that task also got a boost this week when the hospital announced that MBIA Insurance Corp. has agreed ...