Fitch Rates NYPA's Proposed $430MM 2006 Senior Revs 'AA'.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. assigns an 'AA' rating to the New York Power Authority's (NYPA) proposed $195 million series 2006A and $235 million 2006B senior lien senior lien n. the first security interest (lien or claim) placed upon property at a time before other liens, which are called "junior" liens. (See: mortgage, deed of trust, lien, UCC-1) refunding revenue bonds. The Rating Outlook is Stable. The 2006A and B bond ratings are not new ratings, as the bonds were originally expected to be issued in late 2005 (as the 2005A and 2005 B bonds) which Fitch had rated in a press release dated Sept. 16, 2005. However, neither bond series actually sold in 2005. The 2005A bonds were not issued pending the outcome of the Long Island Power Authority's (LIPA) review of its potential privatization, and the 2005B bonds were not issued due to unfavorable market conditions. The 2005B bonds have been renamed 2006B bonds and they are not yet scheduled to price due to continued unfavorable market conditions. Citigroup is the lead manager on the 2006B bonds. On Dec. 14, 2005, LIPA announced that it would not be economic to privatize; hence it would remain a tax-exempt municipal utility. With the tax-exempt status of LIPA in tact, NYPA has rescheduled the issuance of the 2005A refunding revenue bonds into 2006, and has renamed the bond series 2006A, which are scheduled to price Jan. 10 with Morgan Stanley as lead underwriter Lead underwriter The head of a syndicate of financial firms that are sponsoring an initial public offering of securities or a secondary offering of securities. Could also apply to bond issues. . The 2006A bonds are expected to be insured by FGIC FGIC See Financial Guaranty Insurance Corporation (FGIC). (insurer financial strength rated 'AAA' by Fitch). For more details about NYPA's credit rating, please refer to the Sept. 16, 2005 press release ('Fitch Rates NYPA's Proposed Sale of $430MM Senior Revenue Bonds 'AA''), which is available on the Fitch Ratings web site at www.fitchratings.com. 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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