Friday, November 14, 2008

METRO

Metro and a Belgian bank seeking to collect $43 million from the transit agency were unable to reach a settlement yesterday despite two days of talks and a federal judge's suggestion that they resolve the case.

The two sides are scheduled to reappear before U.S. District Judge Rosemary Collyer today. The bank, KBC Group, is seeking immediate payment because its long-term financing deal with Metro soured when the credit rating of troubled insurance giant American International Group, which guaranteed the agreement, was recently downgraded. That downgrade put the deal in default and allowed the bank to seek payment.

Metro spokeswoman Candace Smith said it was a good sign that the two sides were still negotiating.

Metro's case is being closely watched by transit agencies and other entities in the United States and Europe because they entered into hundreds of similar financing deals that are also in jeopardy.

Metro is asking the judge to temporarily bar KBC from collecting payment. The judge has suggested a compromise that would give the bank some money without financially crippling Metro.

-- Lena H. Sun

The Judiciary Square Metrorail station on the Red Line will be closed Saturday until 8 p.m. as a result of heightened security and street closures for the G20 summit meeting at the National Building Museum.

Trains will travel through the station but will not stop. The Metrorail system will open at its usual 7 a.m. weekend time.

The F Street entrance at Judiciary Square will close at 7 p.m. tonight. Customers can access the station by using the entrance at Fourth and D streets.

The Metrorail system will stay open until 1 a.m. Monday to accommodate the large crowds expected to attend Sunday night's football game between the Redskins and the Dallas Cowboys at FedEx Field.

Metro will have additional personnel at the Morgan Boulevard and Largo Town Center stations on the Blue Line and, if necessary, will have additional trains ready to enter service depending on the size of the post-game crowds.

Parking at Metro lots will be free Sunday evening.