Metro, banks ink US$120mn loan

Chilean capital Santiago's state-owned subway company Metro has signed up for a US$120mn loan with a syndicate of local and international banks led by BNP Paribas, Metro said in a filing to the country's securities regulator (SVS). The resources will go to civil works, equipment and rolling stock of Metro's expansion projects, said the filing. The 10-year loan has a three-year grace period, and is divided into tranches, one in US dollars for up to US$45mn and the other in Chile's inflation-indexed unit the UF for up to US$75mn. The system's current lines (1, 2 and 5), some of which are being expanded, move more than 200 million passengers/y. Construction of a US$1bn fourth line (line 4) began in 2002 and is due for completion by year-end.