Fitch Rates Boston Water & Sewer Commission (Massachusetts) CP BANs, Ser A 'F1+'.NEW YORK -- Fitch Ratings assigns a rating of 'F1+' to the $125,000,000 Boston Water and Sewer Commission The Boston Water and Sewer Commission serves retail customers with water services in Boston, Massachusetts. It purchases water wholesale from the Massachusetts Water Resources Authority. (Massachusetts), tax-exempt commercial paper Tax-Exempt Commercial Paper An unsecured short-term loan, usually issued to finance short-term liabilities, that provides the debtholders (bondholders) some level of tax preference on the earnings from their debt investment at a local, state or federal level, or a combination bond anticipation notes, series A. The rating on the notes is based on the support of a direct-pay letter of credit (LOC LOC - lines of code ) provided by Bank of America
Bank of America (NYSE: BAC TYO: 8648 ) is the largest commercial bank in the United States in terms of deposits, and the largest company of its kind in the world. , N.A. The LOC is currently sized to cover up to $30,000,000, but be may increased to cover up to $125,000,000 in principal amount of the notes and 270 days of interest thereon, calculated at the maximum rate of 12% based on a 365 day year. The notes are expected to be delivered on or about Dec. 12, 2006. Deutsche Bank Trust Company Americas, as the Issuing and Paying Agent (I&PA), will draw on the LOC at the times and in amounts that are sufficient to provide for the timely payment of the principal and interest on maturing notes. The I&PA is instructed not to issue any notes that, together with notes then outstanding, will exceed the amount available under the LOC to pay the principal and interest on the notes at maturity. The rating on the notes expires on the earlier of Dec. 11, 2011, the stated expiration date of the LOC, or any prior termination of the LOC. Lehman Brothers Inc. and Cabrera Capital Markets, Inc. are the dealers for the notes. The proceeds of the notes will be used to provide funds to finance the cost of design, acquisition and construction of water and wastewater system improvements, repay notes previously issued and provide for cost of issuance and carrying costs of the notes. 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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