THE PORT AUTHORITY OF NY & NJ

Press Release Article


PORT AUTHORITY SELLS $325 MILLION OF CONSOLIDATED BONDS

Date: Nov 13, 2002
Press Release Number: 120-2002

Port Authority Chairman Jack G. Sinagra announced today the competitive sale of Consolidated Bonds, One Hundred Twenty-eighth Series in the aggregate principal amount of $250,000,000 and Consolidated Bonds, One Hundred Twenty-ninth Series in the aggregate principal amount of $75,000,000. Both the One Hundred Twenty-eighth Series Bonds and the One Hundred Twenty-ninth Series Bonds were awarded on the basis of the lowest true interest cost of the bids received for each of the respective series.

The One Hundred Twenty-eighth Series Bonds, awarded to Salomon Smith Barney at a price of $253,793,692, are comprised of bonds due from November 1, 2007 to November 1, 2032, at interest rates ranging from 4.0 to 5.0 percent per annum. The true interest cost to the Port Authority was 4.788 percent, the lowest of the four bids received.

The One Hundred Twenty-ninth Series Bonds, also awarded to Salomon Smith Barney at a price of $73,782,922, are comprised of bonds due from November 1, 2003 to November 1, 2015, at interest rates ranging from 1.40 to 4.0 percent per annum. The true interest cost to the Port Authority was 3.674 percent, the lowest of the four bids received.

The proceeds of the One Hundred Twenty-eighth Series Bonds will be allocated, as appropriate, to capital projects in connection with facilities of the Port Authority and may also be used for refunding obligations of the Port Authority. The proceeds of the One Hundred Twenty-ninth Series Bonds will be used in connection with the refunding of Consolidated Bonds, Eighty-third Series on December 15, 2002.

The bonds received an A1 rating from Moody’s Investors Service, AA- from Standard & Poor’s Corporation and AA- from Fitch Ratings, Inc.