Rts Utah Hsg 2000 Ser E Cls I Var Rate Bnds 'AAA/F1+'.Business Editors NEW YORK--(BUSINESS WIRE)--Aug. 23, 2000 Utah Housing Finance Agency's $15.5 million single family mortgage bonds, 2000 series E class I variable rate bonds are rated 'AAA/F1+' and the $4.5 million series E class I fixed rate bonds are rated 'AAA', by Fitch. In addition, the $1.4 million class II bonds and $3.6 million class III bonds are rated 'AA' and 'AA-', respectively, and its general obligation (GO) pledge is affirmed af·firm v. af·firmed, af·firm·ing, af·firms v.tr. 1. To declare positively or firmly; maintain to be true. 2. To support or uphold the validity of; confirm. v.intr. at 'AA-'. The current offering is the third sale issued under a general trust indenture An agreement declaring the benefits and obligations of two or more parties, often applicable in the context of Bankruptcy and bond trading. The term indenture primarily describes secured contracts and has several applications in U.S. law. adopted by the agency on May 1, 2000. The 2000 series C class I, class II and class III bonds are affirmed at 'AAA/F1+', 'AA' and 'AA-', respectively and the 2000 series D class I variable- rate bonds, class I fixed-rate bonds, class II and class III bonds are affirmed at 'AAA/F1+', 'AAA', 'AA' and 'AA-', respectively. The bonds are expected to close on Aug. 31, 2000, through a syndicate led by Lehman Brothers Lehman Brothers Holdings Inc. (NYSE: LEH), founded in 1850, is a diversified, global financial services firm. It is a participant in investment banking, equity and fixed income sales, research and trading, investment management, private equity, and private banking. . The $25.0 million 2000 series E single family mortgage bonds are being issued under the general trust indenture that pledges mortgage revenues, investment earnings, reserves and other trust funds to secure the bonds. Additionally, the class III bonds are secured by the agency's GO pledge for payments of scheduled interest and principal at final maturity. The 'AAA' and 'AA' ratings reflect the credit quality of the trust estate's collateral, the adequacy of projected revenues to pay debt service and the credit enhancement Credit Enhancement A method whereby a company attempts to improve its debt or credit worthiness. Notes: Credit enhancements take many different forms. An example of a credit enhancement would be conversion rights added on to a debt instrument in order to lower the issuing provided by the 20% and 14% debt subordination underlying the class I and class II bonds, respectively. A portion of the class I bonds will be sold initially as variable-rate tender bonds. The short-term 'F1+' rating assigned to the class I, series E-1 and E-2 variable rate bonds, reflects the availability of a standby standby Medtalk adjective Referring to the immediate availability of a certain specialist–anesthesiologist, surgeon, who can be deployed in a medical emergency. Cf Concurrent. bond purchase agreement provided by Bayerische Landesbank Girozentrale (rated 'AAA/F1+' by Fitch). Additionally, both the class I and class II bonds have asset parity maintenance requirements directing revenues to be used to call bonds of that class prior to paying debt service of the next junior class. While the class III bonds are secured by the assets and revenues of the trust indenture, their rating reflects the 'AA-' rating assigned to the creditworthiness Creditworthiness The condition in which the risk of default on a debt obligation by that entity is deemed low. Creditworthiness Eligibility of an individual or firm to borrow money. of the agency's GO pledge. The GO rating is based on its overall financial and portfolio performances, levels of liquidity and excess reserves Excess reserves Amount of reserves held by an institution in excess of its reserve requirement and required clearing balance. Also see reserves. Excess reserves Actual reserves that exceed required reserves. , and lower than average leverage ratios. Fitch is an international rating agency that provides global capital market investors with the highest quality ratings and research. Dual headquartered in 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 and London with a major office in Chicago, Fitch rates entities in 75 countries and has some 1,100 employees in more than 40 local offices worldwide. The agency, which is a combination of Fitch IBCA IBCA International Braille Chess Association IBCA Institute of Burial and Cremation Administration IBCA Integrated Business Communications Alliance IBCA International Barbeque Cookers Association IBCA Department of Interior Board of Contract Appeals and Duff & Phelps Credit Rating Co., provides ratings for Financial Institutions, Insurance, Corporates, Structured Finance, Sovereigns and Public Finance Markets worldwide. |
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