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WaterOne Sale
of 2002 Bonds On April 23, 2002 the Water District held a competitive public sale for $13,960,000 of 2002 Bonds, which will refund the District’s outstanding 1994 Bonds. Four bids were received from underwriters. The Water District Board awarded sale of the 2002 Bonds to A.G. Edwards & Sons, Inc. who submitted the best bid with an effective interest rate of 4.59%. The 4.59% interest rate on the 2002 Bonds will replace the higher interest rates on the outstanding 1994 Bonds, which ranged from 4.90% to 5.75%.
The
Water District pays lower interest rates on its bonds because of
exceptionally high bond ratings, which results in savings to the
District’s ratepayers. The
bond rating services have confirmed exceptionally high ratings on Water
District No. 1 of Johnson County’s bonds.
Standard and Poor’s assigned a rating of “AAA” to the
District’s bonds, which is the highest rating available.
Moody’s Investor Services, Inc. has also confirmed an
exceptionally high rating of “Aa1” for the District’s bonds.
This
bond refunding, at the lower interest rate, will save the Water
District’s ratepayers more than $643,000 in interest costs over the next
18 years. |