Contact: Curt Ritter, Mayor's Press Office (212) 788-2958
David Neustadt, Comptroller's Press Office (212) 669-2591
The refunding produced present value savings of approximately $17 million, which constituted approximately 5.14 percent of the amount of the bonds refunded. Cumulative budget savings for the City in Fiscal Years 2000 and 2001 totaled approximately $22 million.
In its two-day pre sale retail order period beginning Friday, June 11, the City received orders for $134 million of the tax-exempt bonds, a record fifty percent of tax-exempt bonds offered. Priority orders from institutional investors totaled $49 million. $352 million in orders were received on the tax-exempt bonds.
On the taxable portion of the financing, seven bids were received. The winning bidder was Salomon Smith Barney with a true interest cost of 6.132212 percent. All of the bids received were submitted electronically through an electronic bidding system. Bidders had the alternative of submitting traditional all-or-nothing bids by sealed bids or through Dalcomp/Parity, a division of Thomson Financial Municipals Group, headquartered in New York City.
"I am extremely gratified by the record high percentage of New York City Bonds sold to individual investors," said Mayor Rudolph W. Giuliani. "Such expressions of confidence in the fiscal and economic policies of the City by both individual and institutional investors allow the City to continue to fund its capital program at record low interest rates."
"I am pleased at the continued strength of retail participation and that individuals are clearly focused on the great things happening in the City," said Alan G. Hevesi. "I am also pleased at the continued strong interest in, and the efficiency of, our electronic competitive bidding process."