BC Ferries prices $200 million in bonds

BC Ferries announced today that is has entered into an agency agreement with a syndicate of investment banks to issue $200 million of its senior secured bonds. The bonds will bear interest at 4.289 per cent per annum and will mature in 30 years. The issue is expected to close April 28, 2014, the Company said.
 
The net proceeds from the sale of this series of bonds will be used, together with additional cash on hand, to repay the $250 million bond Series 04-1, which will mature on May 27, 2014 and to fund the series reserve account.
 
Under contract to the Province of British Columbia, BC Ferries is the service provider responsible for the delivery of safe, efficient and dependable ferry service along coastal British Columbia.

BC Ferries is one of the largest ferry operators in the world, providing year-round vehicle and passenger service on 25 routes to 47 terminals, with a fleet of 35 vessels. We are an essential transportation link that connects coastal communities and facilitates the movement of people, goods and services. In April 2003, BC Ferries was transformed from a Crown corporation into an independent, commercial organization under the Company Act.  The Company is governed by an independent Board of Directors appointed by the B.C. Ferry Authority.