Fitch Confirms MHHEFA Revs Ser 2006H 'AAA'; Rates Short-Term 'F1+'.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 -- 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. confirms the long-term 'AAA' rating currently assigned to $68,400,000 Maine Health and Higher Educational Facilities Authority (MHHEFA) revenue bonds, series 2006H, and assigns a short-term 'F1+' rating to the bonds. The rating actions are taken in connection with the conversion of the interest rate mode on the bonds from the auction-rate mode to a weekly rate mode and provision of a Standby Bond Purchase Agreement (SBPA SBPA Simple Branch Prediction Analysis SBPA Scottish Beer and Pub Association (UK) SBPA School of Business and Public Administration SBPA School-Based Performance Award SBPA School-Based Performance Awards ) to provide liquidity support for the bonds in the weekly rate mode, and reoffering of the bonds. The long-term 'AAA' rating continues to be based on the support of an insurance policy provided by Financial Security Assurance Inc., which insures scheduled payments of principal and interest on the bonds. The short-term 'F1+' rating is based on the liquidity support of an SBPA provided by Wachovia Bank, National Association. The conversion of the interest rate mode and reoffering of the bonds is scheduled to occur on July 10, 2008. The SBPA provides for the payment of the purchase price of tendered bonds while the bonds bear interest in a daily, weekly or unit pricing unit pricing n. The pricing of goods on the basis of cost per unit of measure. mode, and is sized to cover the principal portion of the purchase price plus 34 days of interest at the maximum rate of 14%, based on a year of 365 days. The SBPA will expire on July 9, 2011 unless such date is extended or earlier terminated pursuant to the terms of the SBPA. The short-term rating will expire upon the expiration or termination of the SBPA. Merrill Lynch Merrill Lynch & Co., Inc. (NYSE: MER TYO: 8675 ), through its subsidiaries and affiliates, provides capital markets services, investment banking and advisory services, wealth management, asset management, insurance, banking and related products and services on a global basis. , Pierce, Fenner & Smith Incorporated is the remarketing agent for the bonds. After the conversion and reoffering, the holders may tender their bonds with prior notice while the bonds bear interest in the weekly interest rate mode. While the bonds bear interest in the weekly rate mode, interest is payable on the first business day of each month, commencing Aug. 1, 2008. Holders may tender their bonds with prior notice during the weekly rate mode. Bonds are subject to mandatory tender: (i) on the purchase date for bonds in the unit pricing or term rate mode; (ii) on interest mode change dates; (iii) upon the expiration or termination of the SBPA; and (iv) on the SBPA substitution date if such substitution results in downgrade Downgrade A negative change in the rating of a security. Notes: For example, an analyst may downgrade a stock from strong buy to buy, or a bond rating agency may downgrade a bond from AAA to AA. or withdrawal of the short-term rating. The bonds are also subject to optional and mandatory redemption. Fitch's rating definitions and the terms of use Terms of Use are rules set up by the owner of an intellectual property or service to govern how they may be legally used. In many cases, terms of service are used as a contractual agreement between a company and users of a service they provide. of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental are also available from the 'Code of Conduct' section of this site. |
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