Government agrees to guarantee PKP's ?130 million loan from the EBRD

The government has agreed to guarantee a ?130 million loan for Polish State Railways (PKP) granted by the European Bank for Reconstruction and Development (EBRD). PKP spokesman Roman Hajdrowski said the loan agreement will be signed in a few days. The government's guarantee will be valid until August 20, 2008. PKP is also preparing to choose an agent for two bond issues, worth zl.1 billion and zl.500 million. The issue was initially planned at zl.2 billion. The zl.500 million shortfall is covered by the long-term loan from the EBRD. (Rzeczpospolita, p. B5; Puls Biznesu, p. 7) P.W.