Recent Completed Transactions
NEW YORK CITY MUNICIPAL WATER FINANCE AUTHORITY
ANNOUNCES SUCCESSFUL SALE OF
$219 MILLION OF TAX-EXEMPT REFUNDING BONDS AND
$504 MILLION OF NEW MONEY “BUILD AMERICA” BONDS
The New York City Municipal Water Finance Authority (“NYW”) announced today the successful sale of $219 million of second resolution fixed-rate, tax-exempt refunding bonds and $504 million of second resolution, new money Build America Bonds. Today’s sale marked the first issuance of Build America Bonds by NYW.
During the two-day retail order period for the tax-exempt refunding bonds, which began on Friday, October 23, 2009, NYW received approximately $90 million of retail orders. Final yields ranged from 1.2% in the 2012 maturity to 4.23% in the 2027 maturity.
Today’s sale was led by book-running senior manager Barclays Capital with Jefferies & Company LLC, M.R. Beal& Company, Morgan Keegan & Company, Inc. and Ramirez & Co., Inc. serving as co-senior managers.
The new money proceeds of the sale will be used to finance the ongoing capital improvement program of New York City water and sewer system.
Standard & Poor’s rates NYW’s second resolution bonds at AA+. Moody’s Investors Service rates NYW’s second resolution bonds at Aa3. Fitch Ratings rates NYW’s second resolution bonds at AA.
- 30 -
FOR IMMEDIATE RELEASE
Date: Friday, October 16, 2009
NEW YORK CITY TRANSITIONAL FINANCE AUTHORITY
ANNOUNCES SUCCESSFUL SALE OF
$856 MILLION OF SUBORDINATE LIEN BONDS
New York City Transitional Finance Authority (the “TFA”) announced today the successful sale of $856 million of Future Tax Secured subordinate lien bonds. The TFA sold $85 million of tax-exempt fixed-rate new money bonds and $690 million taxable fixed-rate new money federally subsidized Build America Bonds (BABs). In addition, the TFA reoffered $81 million of tax-exempt bonds in a fixed rate mode. The bonds were sold on a negotiated basis through its underwriting syndicate led by book-running senior manager Goldman, Sachs & Co. with Barclays Capital, Citi, J. P. Morgan, Merrill Lynch & Co., and Morgan Stanley serving as co-senior managers on the sale.
Today’s sale was preceded by a retail order period for the tax-exempt portion which began on Tuesday, October 13 and concluded on Wednesday, October 14, 2009. Yields at the final pricing today on the tax-exempt portion ranged from 0.81% in 2011 to 3.06% in 2016. Yields on the BABs ranged from 4.366% in 2017 to 6.267% in 2039. Net of the 35% federal subsidy, those yields ranged from 2.84% to 4.07%.
Standard and Poor’s rates the TFA at AAA, Fitch Ratings rates the TFA at AA+ and Moody’s Investors Service rates the TFA Senior Bonds at Aa1 and Subordinate Bonds at Aa2.
-30-
THE CITY OF NEW YORK ANNOUNCES RESULTS OF ITS $970 MILLION TAXABLE FINANCING AND ITS $1.1 BILLION TAX-EXEMPT REFUNDING
The City of New York (“the City”) announced today the details of its two General Obligation bond sales.
In the first transaction, the City priced $800 million of fixed-rate new money taxable Build America Bonds (BABs) and $170 million of taxable fixed-rate new money bonds. The $800 million represents the City’s first sale of federally-subsidized taxable BABs. The proceeds of the other $170 million of taxable financing, in maturities ranging from 2011 to 2017, will be used for purposes that are not eligible for tax-exempt financing and therefore do not qualify for the BABs 35 percent federal subsidy. The maturities of the BABs ranged from 2022 to 2034. The yields on the taxable bonds ranged from 1.47 percent in 2011 to 5.68 percent in 2034. The $175 million 2034 term bond included a 10 year par call at a net cost of 47 basis points. The net savings on the BABs, inclusive of the 35 percent federal subsidy, compared to tax-exempt rates, ranged from 51 basis points in 2023 to 88 basis points in 2031. These spreads are some of the tightest market spreads on Build America Bonds to date. This sale was led by book running senior manager Morgan Stanley with Merrill Lynch & Co., J.P. Morgan, Citi, and Siebert Brandford Shank & Co. LLC. serving as co-senior managers.
Separately, the City sold $1.1 billion of fixed-rate tax-exempt refunding bonds. The deal was increased from $900 million after yields were increased 3 to 5 basis points in maturities from 2015 to 2024. Final spreads to MMD in those maturities were approximately 30 basis points lower than in the last City GO sale in May. The yields ranged from 0.74 percent in 2010 to 3.92 percent in 2027. There were $507 million of orders during the three day retail order period of which $470 million of orders were filled. The present value savings were approximately 10 percent of the amount of refunded bonds. This sale was led by book running senior manager Merrill Lynch & Co., with J.P. Morgan, Citi, Siebert Brandford Shank & Co. LLC. and Morgan Stanley serving as co-senior managers.
The City’s General Obligation bonds are rated AA by Standard & Poor’s, Aa3 by Moody’s Investors Service and AA- by Fitch Ratings.
- 30 -
FOR IMMEDIATE RELEASE
Date: Wednesday, August 12, 2009
NEW YORK CITY TRANSITIONAL FINANCE AUTHORITY
ANNOUNCES SUCCESSFUL SALE OF
$800 MILLION OF REFUNDING SUBORDINATE LIEN BONDS
New York City Transitional Finance Authority (the “TFA”) announced today the successful sale of $800 million of refunding Future Tax Secured subordinate lien bonds. The bonds were sold on a negotiated basis through its underwriting syndicate led by book-running senior manager Morgan Stanley, with Barclays Capital, Goldman, Sachs & Co. and J. P. Morgan serving as co-senior managers on the sale.
Today’s sale was preceded by a retail order period which began on Monday, August 10 and concluded on Tuesday, August 11, 2009. Retail orders totaled approximately $235 million. Yields at the final pricing today ranged from 0.62% in 2010 (sold via sealed bid) to 4.08% in 2024.
Standard and Poor’s rates the TFA at AAA, Fitch Ratings rates the TFA at AA+ and Moody’s Investors Service rates the TFA Senior Bonds at Aa1 and Subordinate Bonds at Aa2.
FOR IMMEDIATE RELEASE
Date: Thursday, July 23, 2009
NEW YORK CITY TRANSITIONAL FINANCE AUTHORITY
ANNOUNCES SUCCESSFUL SALE OF
$900 MILLION OF NEW MONEY SUBORDINATE LIEN BONDS
New York City Transitional Finance Authority (the “TFA”) announced today the successful sale of $900 million of new money Future Tax Secured subordinate lien bonds. The TFA sold $800 million of tax-exempt, fixed-rate new money bonds and $100 million of taxable new money bonds. The tax-exempt portion of the sale was sold on a negotiated basis through its underwriting syndicate led by book-running senior manager J. P. Morgan, with Barclays Capital, Goldman, Sachs & Co. and Morgan Stanley serving as co-senior managers on the sale.
The tax-exempt portion of the sale was preceded by a retail order period which began on Tuesday July 21 and concluded on Wednesday, July 22, 2009. Demand for the bonds was strong and broad-based. Retail orders totaled approximately $215 million, net of oversubscriptions. The bonds offered to institutions today were oversubscribed by approximately 1.34x. Yields ranged from 0.93% in 2011 to 5.04% in 2038.
The $100 million of taxable bonds were sold via competitive bid, which was won by JPMorgan at a TIC of 4.91%.
Standard and Poor’s rates the TFA at AAA, Fitch Ratings rates the TFA at AA+ and Moody’s Investors Service rates the TFA Senior Bonds at Aa1 and Subordinate Bonds at Aa2.
FOR IMMEDIATE RELEASE
Date: Tuesday, June 9, 2009
NEW YORK CITY MUNICIPAL WATER FINANCE AUTHORITY ANNOUNCES SUCCESSFUL SALE OF
$500 MILLION OF NEW MONEY BONDS
The New York City Municipal Water Finance Authority (“NYW”) announced today the successful sale of $500 million of second resolution fixed-rate, tax-exempt new money bonds.
During the one-day retail order period, which began on Monday, June 8, 2009, NYW received approximately $64 million of retail orders. At final pricing yields were reduced by 2 bps in 2035, 2039 and 2040. Final yields ranged from 4.28% in the 2024 maturity to 5.15% in the 2039 maturity.
Today’s sale was led by book-running senior manager M.R. Beal & Company with Jefferies & Company LLC, Merrill Lynch & Co. and Siebert Brandford Shank & Co., LLC, serving as co-senior managers.
The new money proceeds of the sale will be used to finance the ongoing capital improvement program of New York City water and sewer system.
Standard & Poor’s rates NYW’s second resolution bonds at AA+. Moody’s Investors Service rates NYW’s second resolution bonds at Aa3. Fitch Ratings rates NYW’s second resolution bonds at AA.
- 30 -
FOR IMMEDIATE RELEASE
Date: Friday, June 05, 2009
NEW YORK CITY TRANSITIONAL FINANCE AUTHORITY ANNOUNCES SUCCESSFUL SALE OF $600 MILLION OF
BUILDING AID REVENUE BONDS
New York City Transitional Finance Authority (the “TFA”) announced today the successful sale of $600 million of new money Building Aid Revenue bonds (BARBs). The bonds were sold on a negotiated basis through the BARB underwriting syndicate led by book-running senior manager Citi with Goldman, Sachs serving as co-senior manager on the sale.
The TFA received $177 million in retail orders during the two day retail order period which began on Monday, June1. Yields on the bonds ranged from 1.25% in 2011 to 5.33% in 2039 in the final pricing.
Under legislation enacted in the spring of 2006 by the State of New York, the TFA is authorized to have outstanding up to $9.4 billion of bonds to finance capital costs for the New York City Department of Education. TFA BARBs are payable from and secured by New York State building aid for educational purposes. The New York City Personal Income Tax and the New York City Sales Tax will not be pledged as additional security for the TFA BARBs.
Standard and Poor’s rates the TFA BARBs at AA-, Fitch Ratings rates the TFA BARBs at A+, and Moody’s Investors Service rates the TFA BARBs at A1.
Dated: April 7, 2009
NEW YORK CITY ANNOUNCES SUCCESSFUL SALE OF
$883 MILLION OF GENERAL OBLIGATION BONDS
New York City (the City) announced today the successful sale of $883 million of General Obligation bonds. Today’s sale included $850 milion of tax-exempt bonds and $33 million in taxable bonds.
During the two-day retail order period, which began on Friday, April 3, 2009, the City received over $500 million of retail orders and filled $454 million net of oversubscriptions. Institutional demand was strong and the bonds offered to institutions were oversubscribed by 1.8x. At final pricing today, yields ranged from 1.9% in the 2011 maturity to 5.55% in the 2036 maturity. The City also sold $33 million of taxable fixed-rate bonds at 5.96% in 2016 and 6.06% in 2017. Today’s sale was led by book-running senior manager Morgan Stanley with Citi, JP Morgan and Merrill Lynch & Co. serving as co-senior manages.
The City is currently rated AA by Standard & Poor’s, Aa3 by Moody’s Investors Service, and AA- by Fitch.
