Election Day stifles pricing action, but activity picks up Wednesday; Catholic Health plans $472 million

By Aaron Hochman-Zimmerman and Sheri Kasprzak

New York, Nov. 4 - Even though most government officials busied themselves Tuesday with elections, pricing action is expected to be very heavy on Wednesday as issuers get back down to business.

"It is pretty quiet today," noted one sellside source reached Tuesday afternoon.

"I think most people are busy with their elections. It's looking busy the rest of the week though. We're seeing loads of stuff coming up tomorrow [Wednesday] and on Thursday too."

Catholic Health Initiatives leads Wednesday's pricing activity, bringing more than $470 million in revenue bonds for several health-care systems.

Catholic Health's upcoming deals

The offerings the health-care provider is gearing up for include $300 million in series 2008 revenue bonds for the Colorado Health Facilities; Montgomery County, Ohio; and the Health, Educational and Housing Facility Board of the City of Chattanooga, Tenn.

The bonds will be sold through lead manager J.P. Morgan Securities Inc.

The Colorado bonds are due 2014 to 2018 with term bonds due 2022, 2028 and 2034. The Ohio and Tennessee bonds are due 2009 to 2018 with term bonds due 2022, 2028 and 2034.

Proceeds will be used to finance or refinance capital improvement and equipment acquisitions at Catholic Health facilities in Colorado, Iowa, Nebraska, Minnesota, New Jersey, Oregon, Ohio and Tennessee.

Also from Catholic Health on Wednesday is a $172.485 million sale of series 2008D revenue bonds (Aa2/AA/AA), which will be sold for the Washington Health Care Facilities.

Those bonds will also be sold through JPMorgan and are due 2016 through 2018 with term bonds due 2022, 2028 and 2036.

Proceeds will be used to refund and retire the system's series 2007A1, 2007A2 and 2007A3 revenue bonds.

Empire State sale ahead

Also coming up on Wednesday, the Empire State Development Authority of New York is expected to price $300 million in building aid revenue bonds (//A+) through lead manager Merrill Lynch & Co.

The proceeds will repay a portion of the authority's $663.55 million in series 2008A correctional and youth facilities service contract revenue bonds, which are up for mandatory tender on Jan. 1.

Mohave Prison may sell bonds

In other pricing news for Wednesday, the Mohave Prison of Arizona may sell its previously announced $206.005 million in series 2008 correctional facilities contract revenue bonds, said a sellside source connected to the offering. The bonds will be sold through the Industrial Development Authority of the County of Mohave.

The bonds (/BBB+/) will be sold on a negotiated basis with Morgan Keegan & Co. as the senior manager.

The bonds are due from 2011 to 2025.

Proceeds will be used to refund the prison's series 2004A and 2004C bonds and to finance the acquisition, construction, equipment and operations of a 2,000-bed private prison for male inmates.

Carroll County, Md., to sell bonds

Looking a bit further ahead, Carroll County in Maryland is hoping to sell $80 million in series 2008 general obligation consolidated public improvement bonds on Nov. 13, said a preliminary official statement.

The bonds will be sold on a competitive basis with Davenport & Co. as the financial adviser.

The bonds are due 2011 to 2028.

Proceeds will be used for the design, construction, acquisition and equipment of schools, roads, general government facilities, conservation projects, water and sewer projects, solid waste disposal projects and volunteer firefighting equipment.

Dasny offerings coming up

Meanwhile, the next two months will be packed with sales from the Dormitory Authority of the State of New York. The authority is gearing up to sell $650 million in series 2008 personal income tax revenue bonds during the week of Nov. 10, according to a calendar from the issuer.

The bonds (//AA-) will be sold on a negotiated basis, but the underwriter could not be determined by press time Tuesday.

Proceeds will be used for capital improvements for some of the state's educational facilities as well as for the refunding of outstanding bonds.

Also coming up from Dasny, the authority will sell $719 million in variable-rate refunding bonds for the City University of New York in December, said an issuer calendar.

The full details of the sale were not immediately available.

Another sale planned for December will be priced for the New York Public Library. The authority expects to price $117 million in variable-rate bonds.

Few details for that offering emerged Tuesday.

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