PKP - full steam ahead for zl. 1 billion eurobond issue

The Treasury Ministry and Infrastructure Ministry have given the green light for Polish State Railways' (PKP) eurobond issue to go ahead. PKP's managemen t board is now considering to seek the counsel of a company which would prep are PKP's rating. It is likely that the world's two largest companies in tha t field, Moody's and Standard and Poor's, will work on the task. According t o initial plans, the rating is expected to be ready by September. The eurobo nd issue is one of the options that will allow the ailing company to procure additional funds, and which have been entered into the official restructurin g plan by PKP's board, which hopes it will be able to issue two tranches, to taling zl. 1 billion. "The draft has already left the Infrastructure Ministr y and has now been sent to the Finance Ministry. Consent from all the minist ries is essential, as some of the financing elements require PKP restructuri ng and privatization bill to be altered," said PKP president Krzysztof Celin ski. (Puls Biznesu, p. 4) M.T.K.