The proposed bond issue went ahead in July 2006. Arsenal issued £210 million worth of 13.5-year bonds with a spread of 52 basis points over government bonds and £50 million of 7.1-year bonds with a spread of 22 basis points over LIBOR. It was the first publicly marketed, asset-backed bond issue by a European football club. The effective interest rate on these bonds is 5.14% and 5.97%, respectively, and are due to be paid back over a 25-year period; the move to bonds has reduced the club's annual debt service cost to approximately £20 million a year. In September 2010, Arsenal announced that the Highbury Square development – one of the main sources of income to reduce the stadium debt – was now debt free and making revenue.
