Washington State Gets $74 million Savings from Bond Refunding
Contact: Chris McGann 360-902-9033
August 7, 2012 - Refinancing $703 million of Washington State debt today produced more than $74 million of savings including $4.6 million that apply to the current biennial budget.
"Reducing debt service by more than $4 million for the 2011-2013 biennium is a significant savings for Washington," said State Treasurer James McIntire. "By carefully monitoring our debt portfolio we were able to take advantage of the current low-interest environment and reap the rewards of the call provisions on outstanding bonds."
Citigroup Global Markets beat out seven other bidders in the $338.7 million various purpose general obligation refunding with a True Interest Cost (TIC) of 2.59 percent. Bank of America Merrill Lynch was the highest of eight bidders on the $364.5 million motor vehicle fuel tax refunding with a TIC of 2.52 percent.
For more information visit the Office of the State Treasurer’s website at www.tre.wa.gov