|
|
|
|
|
|
Debt Refinancing Saves City of New Berlin Taxpayers
Over $849,000
City's Aaa Bond Rating Affirmed by
Moody's Investor's Service
|
BROOKFIELD, WI
- September 10, 2010 - In an continuing effort to integrate
modern living with small-town charm, the City of New Berlin recently
was awarded the sale of $15,630,000 in General Obligation bonds and
notes. Saving City taxpayers $849,162 by issuing $8,085,000 in
bonds to refund existing City debt at lower interest rates, the
balance of $7,545,000 in notes is being issued to pay for costs of
capital improvements to include street and park improvements, and
acquisition of capital equipment. Competitive bids for purchase
of the bonds and notes were taken by Ehlers & Associates, the
City's independent financial advisor.
"The notes
and bonds were sold in August and closed on September 8,
2010," stated Greg Johnson, Financial Advisor at
Ehlers. Johnson continued, "The competitive sale process
Ehlers recommends, combined with the City's excellent credit
rating, proved valuable to the City."
A total of
five bids on the notes and ten bids on the bonds were received,
including:
- Purchase of
$8,290,000 in tax-exempt General Obligation Refunding bonds by BMO
Capital Markets at a TIC of 2.06%, resulting in refinancing
savings of $849,162 for City taxpayers.
- Purchase of $7,545,000
in tax-exempt General Obligation Notes by Baird at a TIC of 1.94%.
As part of the debt planning and issuance process, the
City's Aaa bond rating was reviewed and affirmed by Moody's Investors
Service. "The Aaa rating, the highest assigned, indicates
the outstanding credit quality of the City of New Berlin" observed
Johnson.
In its credit report, Moody's acknowledged the City's
"historically strong management", its "conservative
budgeting," and "healthy reserves" as positive factors
leading to the rating affirmation. The City of New Berlin is one
of five communities in Wisconsin with a Aaa rating.
|
About the
City of New Berlin
The City of New
Berlin (http:/www.newberlin.org) is located in
Waukesha County, Wisconsin. The City was honored as ranking 34th
on Money Magazine's Top 100 Best American Small Town in
Which to Live in 2009. The 2009 population
estimate for the City is 39,300. Known as the "City Living
with a Touch of Country," it is approximately 37 square
miles and has a tax base worth nearly $4.8 billion. The City has
taken advantage of its location and access to I-94 and I-43 through
development at the New Berlin Industrial Park and the Westridge
Business Park, diversifying the City's tax base. The City's
industrial areas are comprised of more than 600 businesses and 13,000
employees.
About Ehlers
Ehlers, an independent public finance advisor for
over 50 years, is ranked third nationally in number of competitive
sales advised. Our goal is to expand public sector clients' horizons
and achieve practical solutions at the lowest cost to taxpayers. Our
allegiance is to the communities whom we serve. Our success is the
result of established long-term relationships, hard work, and years of
experience. Ehlers works with counties, cities, townships, school
districts and other governmental units to build better communities
through the products and service we offer: Debt Issuance Services,
Economic Development and Redevelopment, Financial Planning, and
Management, Communication and Public Participation. Visit http://www.ehlers-inc.com/index.php for more
information.
# # #
|
|
|
Cautionary Note Regarding
Forward-Looking Statements
This press release may contain forward-looking
statements. Statements that are not historical or current facts,
including statements about beliefs and expectations, are
forward-looking statements and are subject to significant risks and
uncertainties that are difficult to predict. These forward-looking
statements cover, among other things, statements made about general
economic and market conditions, our current deal pipelines, market
share gains and trends, the environment and prospects for capital markets
transactions and institutional brokerage activity, anticipated
financial results (including expectations regarding revenue and expense
levels, the compensation ratio, return on shareholders' equity, and our
quarterly run rate for non-compensation expenses), liquidity and
capital resources, inventory positions, share repurchase plans or other
similar matters. These statements involve inherent risks and
uncertainties, both known and unknown, and important factors could
cause actual results to differ materially from those anticipated or
discussed in the forward-looking statements. Forward-looking statements
speak only as of the date they are made, and readers are cautioned not
to place undue reliance on them. Ehlers undertakes no obligation
to update them in light of new information or future events.
|
|
|
|
|
