Case Study: Amalgamated Bank Partners with Scranton, PA
Amalgamated Bank recently provided cash flow financing to Scranton, PA when the City was entirely shut-out of the debt and local bank markets in August 2012. We are proud to have partnered with Scranton to help improve the outcomes for the city, its public workers, and its residents.
Scranton was faced with severe liquidity stress in the summer of 2012 which resulted in Scranton’s city workers being paid minimum wage. Amalgamated’s tax anticipation loan (TAN) loan helped provide the City with breathing space so that it could meet payroll and continue providing services to the community.
Scranton was then able to subsequently line up long-term financing through a ten-year private placement, and the City is now continuing to implement its multi-year Recovery Plan. Scranton fully repaid our first TAN loan in December 2012; Amalgamated subsequently stepped-up our commitment to Scranton in January 2013 with a larger and longer second TAN loan.