This excerpt taken from the DPL 10-Q filed Apr 24, 2008.
10. Subsequent Events
On November 15, 2007, the OAQDA issued $90 million of insured, collateralized, variable rate OAQDA Revenue bonds due November 1, 2040. In turn, DP&L borrowed these funds from the OAQDA. The variable interest rate on these bonds had been determined via a Dutch-auction that was reset every 35 days. During the three months ended March 31, 2008, there has been significant turmoil in the auction rate securities (ARS) market, numerous auction failures, and significant increases in interest rates. On April 4, 2008, these OAQDA Revenue bonds were converted from 35-day ARS to 7-day variable rate demand notes (VRDN). At that time, the trustee, on behalf of DP&L, purchased all of the issued and outstanding bonds from the bondholders at par value and placed them in a custody account. These bonds have not been legally cancelled and can be re-issued at the discretion of DP&L at any time. These VRDNs were purchased using funds provided by DP&Ls revolving line of credit at a borrowing rate of LIBOR plus 0.27% and will be held in trust while we continue to evaluate market conditions and explore suitable long-term financing alternatives. Accordingly, at March 31, 2008, the $90 million variable rate OAQDA Revenue bonds are reflected within the current portion of long-term debt in the condensed consolidated balance sheets.