The par value of the bond is $235 million. Of that, $198 million will be paid out for tax refunds and $17 million for COLA recipients. The remaining balance of $20 million will pay for capitalized interest and cost of issuance, said Guam Economic Development Authority Administrator Karl Pangelinan.
At the signing ceremony held at Adelup, Calvo said giving what is owed the people was “the right thing to do,” and vowed “we’re going to right a wrong.”
He thanked island mayors and lawmakers who supported his crusade for the bond.
Calvo asked for support from lawmakers for the Series B bond the government expects to float the first quarter of next year. More than $100 million will be floated to pay for 2011 tax refunds.
The governor thanked the government of Guam family for believing in him, in spite of “much criticism” and of “not performing good enough.”
