George Washington University reoffers $186.6 million taxable bonds, in search of fixed rate

By Sheri Kasprzak

New York, Feb. 25 - George Washington University intends to reoffer $186.6 million in series 2002A and 2002B taxable bonds in an attempt to secure a fixed rate for the bonds.

The university is in talks with Lehman Brothers to come up with the best plan of action, according to a source familiar with the deal. So far, no date has been set for the conversion, but the university is discussing acceptable terms with Lehman, said the source, who wished to remain anonymous.

The current crisis in the variable-rate market was the impetus for the university to convert its variable-rate bonds, but the source said the institution has been planning this conversion since December in an effort to be "ahead of the curve."

The 2002A and 2002B bonds are due 2032, and the reoffering is insured by MBIA.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.