SAWS: Banks Not Cooperating On Renegotiating Vista Ridge Loan
By mid-week the San Antonio Water System (SAWS) expects to know whether it will be able to easily move ownership of the Vista Ridge pipeline to a different company. Because of financial problems current owner Abengoa has agreed to sell 80-percent of the water project to Garney Construction, but an outstanding loan complicates matters, and has forced SAWS to consider other options.
As the contract manager for the 142-mile pipeline, Abengoa Vista Ridge took out a $120 million loan to purchase pipe, though SAWS CEO and President Robert Puente says the pipe is nowhere to be found.
Now, as financially-troubled Abengoa seeks to turn over most of its interest in the project to Garney Construction someone has to be responsible for paying back the $120 million loan… Read more from TPR