Fitch Affirms New Hampshire's $50MM CP Program At 'F1+'.Business Editors NEW YORK--(BUSINESS WIRE)--Oct. 31, 2003 Fitch Ratings Fitch Ratings An international rating agency for financial institutions, insurance companies, and corporate, sovereign, and municipal debt. Fitch Ratings has headquarters in New York and London and is wholly owned by FIMALAC of Paris. affirms the 'F1+' rating assigned to the State of New Hampshire's (the state) $50 million general obligation bond anticipation notes Bond anticipation note (BAN) A short-term debt instrument issued by a state or municipality to borrow against the proceeds of an upcoming bond issue. (BANs), series A (commercial paper), in connection with the program's extension. The commercial paper is issued in anticipation of already authorized general obligation bonds. The dealer is UBS UBS Union Bank of Switzerland UBS United Bible Societies UBS United Blood Services UBS United Buying Service UBS Used Bookstore UBS University Business Services UBS Universal Building Society (UK) UBS Ulaanbaatar Broadcasting System PaineWebber Inc. and the issuing and paying agent Paying Agent An agent who accepts payments from the issuer of a security and then distributes the payments to the holders of the security. Also known as a "disbursing agent. , Deutsche Bank Trust Company Americas, New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of . The state meets interest on the notes from its general fund but liquidity covering the entire principal amount, is provided pursuant to a credit agreement with Landesbank Hessen-Thuringen Girozentrale, through its New York branch. The agreement was scheduled to expire Nov. 17 but has now been extended through Oct. 29, 2004. The state's general obligation bonds are rated 'AA+' by Fitch, reflecting New Hampshire's conservative debt and financial policies as well as its economic strength. The state had strong employment growth from 1992 through 2000, when the recession caused slowing in 2001 and a decline of 1.4% in 2002. In September 2003, however, employment was only 0.5% below the peak. The unemployment rate remains well below the national level, at less than 5%. Personal income grew rapidly during the 1990's, allowing the state to advance to sixth highest among the states as measured on a per capita [Latin, By the heads or polls.] A term used in the Descent and Distribution of the estate of one who dies without a will. It means to share and share alike according to the number of individuals. basis. Net tax-supported debt amounts to $609.4 million, or $493 per capita, 0.6% of estimated full value and 1.4% of personal income, low ratios. The commercial paper is issued in anticipation of later general obligation bond issuance and currently, there are $295.7 million authorized but unissued such bonds. The commercial paper is very moderate in relation to total debt and to eligible bonds to be issued. Financial operations have been under pressure, due in part to the volatility of the business taxes, the state's major revenue. Operating deficits were incurred for the biennium bi·en·ni·um n. pl. bi·en·ni·ums or bi·en·ni·a A two-year period. [Latin : bi-, two; see bi-1 + annus, year; see at- ended June 30, 2003, but they were covered by transfers from reserves. The stabilization fund now holds about $20 million but the health care fund has been exhausted. The budget for the current 2003-05 biennium is very narrowly balanced but revenues for the first quarter were slightly ahead of projections. |
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