The bonds will be remarketed as variable rate bonds
in the daily interest rate mode.
The $641,160,000 Series A of September 2018 were a takeout of the State's $600 million in 2003B variable rate bonds
and the termination of five swaps associated with those bonds.
Fitch Ratings took the following rating actions on the Triborough Bridge and Tunnel Authority, NY's $122,565,000 general revenue variable rate bonds
, series 2001C:
"Hospital boards are more vocal with their discomfort about variable rate bonds
because each one needs the support of a commercial bank.
We introduced a bill that passed both houses and we expect the Governor to sign that would permit HFA and HDC to place tax-exempt bonds for 80/20 housing directly with a financial institutions, instead of having these short-term variable rate bonds
sold weekly in the bond market with a requirement to have credit enhancement from Fannie Mae or Freddie Mac.
Harvard and Princeton universities have sold bonds to replace variable rate bonds
that investors no longer wanted and because of their drops in endowments, according to Bloomberg BusinessWeek.
The bank is to provide a letter of credit worth up to USD100m to cover variable rate bonds
the county is selling as part of about USD448.4m in new and refunding bonds to finance the USD644m new Marlins ballpark stadium.
The bonds would be fixed at six percent interest, although the board did give permission to issue variable rate bonds
if market conditions improved.
The authority benefited by financing $800 million in bond swap options in exchange for $35 million in payments several years ago, which was leveraged on the difference between variable rate bonds
and fixed municipal rate bonds.
For universities that have used only fixed rate bonds, considering variable rate bonds
is a departure from tradition.
* Variable rate bonds
with a current estimated interest rate of 1.03 percent
Variable rate bonds
possess fluctuating interest in line with general base-rate movements, currently at 3.75 per cent.