Texas board prices $101.45 million G.O.s with 4.64%-5.08% TIC; California to sell $1.5 billion G.O.s

By Cristal Cody and Sheri Kasprzak

New York, June 4 - A heavy day for pricings was highlighted Wednesday by the $101.45 million sale of general obligation bonds from the Texas Higher Education Coordinating Board.

The board priced the bonds (Aa1/AA/) with 4.64% to 5.08% true interest costs, the board's financial adviser said Wednesday.

The bonds had several bidders in the competitive sales, said Erin Donner, analyst with First Southwest Co.

"There were some syndicates," she said. "You just see the lead bank so it was hard to tell who all was in there."

Lehman wins 2008A bid

Lehman Brothers won the bid on $74.115 million series 2008A college student loan bonds with a 5.075% TIC, Donner said.

Those bonds priced with 5% to 5.5% coupons to yield 3.75% to 5.3%.

Citigroup Global Markets was the successful bidder on the $27.335 million series 2008B college student loan refunding bonds with a 4.6367% TIC, Donner said.

The 2008B bonds priced with 5% to 5.5% coupons to yield 4.05% to 4.64%.

The series 2008A bonds have serial maturities from 2012 through 2032. The series 2008B bonds have maturities from 2014 through 2018.

Proceeds will be used to fund a student loan program and to refund the outstanding $26.82 million in Aug. 1, 2009 maturities from the series 1997, 1999, 2000 and 2002 student loan bonds.

Boone Hospital sells bonds

Boone Hospital Center in Missouri priced $100 million revenue bonds on Wednesday, a sellside source told Prospect News.

The final terms are expected to be available on Thursday.

"We have verbally OK'd the deal, but we have to go to the county commissioner to approve it," the source said.

The series 2008 fixed-rate revenue bonds (A3//) priced through Boone County, Mo.

Stern Brothers managed the negotiated sale.

Proceeds will be used to finance a portion of the construction of a new patient bed tower and parking structure projects.

San Mateo district bonds

The San Mateo Union High School District in California priced $62.07 million G.O. bonds in a competitive sale on Wednesday, a source connected to the sale told Prospect News.

"We did wrap up the competitive sale, but we're in the process of resizing," the source said.

The final pricing terms on the series 2008A bonds (Aa3//) are expected to be available on Thursday.

The proceeds will fund renovation and modernization projects at existing school sites.

Bay Area Toll sale

Also on Wednesday, the Bay Area Toll Authority in California had been expected to sell $507.9 million in bonds (Aa3/VMIG1//F1+). The issuer did not immediately respond to requests for the pricing terms.

The bonds were sold on a negotiated basis with JPMorgan as the senior manager and will bear interest at the weekly rate.

The proceeds will be used to refund the authority's series 2006 bonds.

Elsewhere, Clark County in Nevada was to sell $400 million in series 2008 G.O. bonds on a competitive basis Wednesday.

Calls to the issuer for additional information were not returned Wednesday.

The bonds are due 2011 to 2038, and proceeds will be used for a loan to the Southern Nevada Water Authority by purchasing an authority bond.

California Infrastructure bonds

In other pricing news Wednesday, the California Infrastructure and Economic Development Bank had been expected to price $198.18 million series 2008A revenue bonds.

Calls for the pricing terms were not immediately returned Wednesday.

Banc of America Securities managed the negotiated sale.

Proceeds will be used for computer hardware and software systems, other equipment, control services at electric transmission facilities and the refunding of the bank's outstanding series 2000, 2004 and 2007 revenue bonds.

Virginia sale set

The Commonwealth of Virginia had been scheduled to price $93.785 million G.O. bonds in a competitive sale on Wednesday.

The issuer did not immediately respond to requests for the pricing terms.

The series 2008A bonds have serial maturities from 2009 through 2028.

First Southwest Co. is the state's financial adviser.

Proceeds will be used to finance capital projects for educational, park and recreational facilities.

Idaho to sell $600 million

Moving to upcoming bond sales, the state of Idaho plans to price $600 million in series 2008 tax anticipation notes, said a preliminary official statement released Wednesday.

The bonds will be sold on a negotiated basis with Banc of America Securities as the lead manager. The co-managers will be Zions Bank and KeyBanc Capital Markets.

The bonds are due June 30, 2009.

Proceeds will be deposited into the state's general fund and will be used to pay expenses during fiscal year 2009.

Other planned sales

The California Statewide Communities Development Authority plans to price $273.535 million tax and revenue anticipation notes on June 9, according to a release from Moody's Investors Service.

The issuers' pool on the series 2008A1 notes (MIG 1//) includes 12 cities, nine counties and four special districts.

Financial Security Assurance has a limited insurance policy on 15% of the notes.

Additional information was not available.

The Greenville Hospital System Board of Trustees in South Carolina plans to price $109.75 million revenue bonds in mid-June, Moody's said.

Proceeds from the series 2008A bonds (Aa3/AA-/) will be used to refund the series 2006A and 2006B bonds.

The hospital also plans to convert its series 2003B and 2003C auction-rate bonds to a variable rate over the next few weeks.

Citigroup Global Markets will manage the negotiated sale.

California's $1.5 billion deal

California plans to price $1.5 billion G.O. bonds in June, according to information released by state treasurer Bill Lockyer Wednesday.

The exact sale date has not been announced.

The New York State Housing Agency expects to price the previously announced $150 million state personal income tax revenue bonds on Thursday, the issuer told Prospect News.

The sale of the series 2008 bonds (Aaa/AA-/) will be made official on Friday, said Philip Lentz, spokesman for the agency.

The bonds have serial maturities from 2018 through 2038.

Citigroup Global Markets is the senior manager of the negotiated sale.

Proceeds will be used to repay the state for amounts that were advanced to finance housing assistance programs administered by public benefit corporations.

Blount County plans sale

Blount County and the Blount County Public Building Authority in Tennessee expect to price $50.5 million local government public improvement bonds in June, a sellside source said Wednesday.

"We're still trying to nail down a date. We've run into a few issues we're working through. It may be as soon as next week or it could be the 20th or 23rd," the source said.

The series E1A bonds (A1//) will price in a negotiated sale managed by Morgan Keegan & Co.

Proceeds will restructure the county's $35 million outstanding in series D8A bonds and $15 million outstanding in series D10A bonds.

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