Brascan Raises C$384 Million On 20 Year Secured.Business Editors TORONTO--(BUSINESS WIRE)--June 16, 2003 Brascan Corporation (NYSE NYSE See: New York Stock Exchange :BNN BNN Boston Neighborhood Network BNN Boundary Network Node (IBM) BNN Back-Propagation Neural Network BNN Biological Neural Network BNN Bart's Neverending Network (public-service TV network in The Netherlands) )(TSX TSX Toronto Stock Exchange (TSE before April, 2002) TSX Transfer from Stack Pointer to Index TSX True Space Extension :BNN.A) today announced the completion of a C$384 million 6.6% senior secured bond issue due June 16, 2023. The bonds are rated A (low) by Dominion Bond Rating Service Dominion Bond Rating Service is a credit rating agency based in Toronto, Ontario. Founded in 1976, it is one of the largest credit rating agencies in Canada. It is one of five Nationally Recognized Statistical Rating Organizations in the United States, though significantly smaller (DBRS DBRS Dominion Bond Rating Service ) and are secured against hydroelectric generation and transmission assets in Northern Ontario. These operations include 726 kilometres of transmission lines and 12 hydroelectric generating stations on four river systems generating on average 1,630 megawatt hours (MWh) annually. These bonds were issued by Great Lakes Power Limited (GLPL GLPL GNU Library Public License ), a wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. of Brascan. GLPL is one of only a few independent power producers and transmitters in Ontario with a history of over 85 years in the province. Proceeds are to be used to redeem approximately $300 million of maturing debt and to finance capital improvements. "Backed primarily by merchant power sales, rather than the more traditional long-term power sales contracts, the rating assigned by DBRS to our Great Lakes Power bond issue reflects the high quality of our hydroelectric generating and transmission assets and the strength of our operations in Northern Ontario," commented Harry Goldgut, Chief Executive Officer of Brascan Power. Brascan's power operations are strategically focused on hydroelectric power generation, primarily in northeast Canada and United States, and include 38 hydroelectric generating stations and one natural gas-fired cogeneration plant located in Ontario, Quebec, New Hampshire, Maine, British Columbia and Louisiana, with a combined capacity of 1,684 MW. Brascan Profile Brascan is a North American based company which owns and manages assets which generate sustainable cash flows. Current operations are largely in the real estate, power generation and financial sectors. Assets total $23 billion and include 55 premier commercial properties and 39 power generating facilities. Brascan's publicly traded securities are listed on the New York and Toronto stock exchanges. |
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