BioNitrogen Holdings Corp. (BIONQ)

[Gatorlady]

My understanding (and it may be wrong) is that Bionitrogen borrowed the $5M from a bank and the city gave the bank $5M as collateral. If I'm correct, this agreement means the bank will keep the city's money and consider the loan paid. Bionitrogen still owes the money but they now owe it to the city instead of the bank. The agreement says the city will be paid back in the fall.