Atlantic City Mayor Don Guardian said that the struggling casino hub in New Jersey, which has until today to repay a $12.8 million loan, is arranging a deal to sell $12 million in short-term notes, Bloomberg News reported yesterday. Guardian said that the city had been unable to sell the debt until receiving three offers Jan. 30: one in which the interest rate was too high; another that required the city to pledge state aid; and the winner. He declined to give specifics of the offer or say which banks were involved. Guardian said that the city council will vote today on a separate plan in which Atlantic City would kick in $800,000 to cover the final portion of the one-year notes that come due. The city could have repaid the full loan through cash and wasn’t willing to accept loan terms deemed too expensive, he said.
