Date: Dec 05, 2012
Press Release Number: 204-2012
The Port Authority of New York and New Jersey today announced the competitive sales of Consolidated Bonds, 175th Series, in the aggregate principal amount of $425 million, and Consolidated Bonds, 176th Series, in the aggregate principal amount of $170 million. Both the 175th Series bonds and the 176th Series bonds were awarded on the basis of the lowest true interest cost of the bids received.
The 175th Series bonds, awarded to BofA Merrill Lynch, at a price of $450,990,571.72, are composed of bonds due from December 1, 2013 to December 1, 2042, at interest rates ranging from 3 to 5 percent per year. The true interest cost to the Port Authority was 2.979743 percent, the lowest of the six bids received.
The 176th Series bonds, awarded to Citigroup Global Markets Inc., at a price of $169,646,910, are composed of bonds due from December 1, 2013 to December 1, 2022, at interest rates ranging from 0.40 to 2.50 percent per year. The true interest cost to the Port Authority was 1.722440 percent, the lowest of the seven bids received.
The proceeds of the 175th Series bonds shall be allocated, as appropriate, to capital projects in connection with certain facilities of the Port Authority and/or for purposes of refunding certain obligations of the Port Authority. The proceeds of the 176th Series bonds shall be allocated as appropriate to capital projects of certain facilities of the Port Authority and/or for certain other authorized purposes.
The 175th Series bonds and the 176th Series bonds received an Aa3 rating from Moody’s Investor Service, AA- from Standard & Poors Corporation and AA- from Fitch Ratings Inc.
Port Authority of New York and New Jersey
Founded in 1921, the Port Authority of New York and New Jersey builds, operates, and maintains many of the most important transportation and trade infrastructure assets in the country. The agency’s network of aviation, ground, rail, and seaport facilities is among the busiest in the country, supports more than 550,000 regional jobs, and generates more than $23 billion in annual wages and $80 billion in annual economic activity. The Port Authority also owns and manages the 16-acre World Trade Center site, where construction crews are building the iconic One World Trade Center, which is now the tallest skyscraper in New York. The Port Authority receives no tax revenue from either the state of New York or New Jersey or from the City of New York. The agency relies on revenues generated by facility users, tolls, fees and rents as well as loans, bond financing, and federal grants to fund its operations. For more information, please visithttp://www.panynj.gov.