Amtrak 2014 Annual Report Download - page 37

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National Railroad Passenger Corporation and Subsidiaries (Amtrak)
Notes to Consolidated Financial Statements (continued)
1509-1694994 29
6. Mortgages and Debt (continued)
deposits, and other” in the Consolidated Balance Sheets and are being amortized to interest
expense over the term of each bond issuance. As of September 30, 2014 and 2013,
$138.5 million and $140.1 million, respectively, of the Series A 2012 and Series B 2012
obligations remain outstanding. Amtrak guaranteed all principal and interest payments by
PEDFA on the Series A and Series B bonds.
Equipment Loans
In 2010 and 2009, Amtrak exercised early buyout options to purchase 40 locomotives and eight
superliner passenger cars under capital leases. Amtrak assumed the debt related to the capital
leases as new loans from the lenders for $32.0 million. The loans are payable in semiannual
payments through maturity with the final loan payments due from January 2012 through
January 2015. The interest rates vary from 7.37% to 9.61%. The outstanding balance due on
these loans was $4.1 million and $11.5 million as of September 30, 2014 and 2013, respectively.
Amtrak’ s obligations in connection with these loans are collateralized by a pledge of the related
rolling stock.
PEDFA 30th St. Garage Revenue Bonds
On January 7, 2003, PEDFA issued $50.0 million of Revenue Bonds (the 2003 PEDFA Garage
Bonds) for the purpose of financing the construction and other related costs of a parking garage
located at the 30th Street Station in Philadelphia, Pennsylvania (30th Street Station Garage). The
bonds had multiple maturities ending on June 1, 2033. The bonds were issued at a $0.6 million
discount and Amtrak incurred $0.5 million in underwriter’ s fees that were being amortized on a
straight-line basis over the maturity of the bonds. The bonds bore interest, by individual
maturities, at fixed rates ranging from 4.50% to 5.875%. Amtrak also entered into a “Pledge and
Security Agreement” with PEDFA under which Amtrak guaranteed the payment of the principal
and interest on the 2003 PEDFA Garage Bonds. Amtrak’ s obligations with regard to the 2003
PEDFA Garage Bonds (and any reissuances thereof) are collateralized by a pledge of Amtrak’ s
interests in the 30th Street Station Garage.
On November 2, 2012, at Amtrak’ s request, PEDFA issued $42.0 million of Revenue Bonds (the
2012 PEDFA Garage Bonds) in order to refinance the 2003 PEDFA Garage Bonds. At the date
of issuance, the 2012 PEDFA Garage Bonds were remarketed to a commercial bank that agreed
to hold them for a period of seven years. The $42.0 million proceeds together with $4.2 million
released from the then-existing restricted funds for the 2003 PEDFA Garage Bonds were used to