Munis little moved in light day; University of Maryland Medical System prices $243.8 million

By Sheri Kasprzak

New York, Dec. 16 - Municipals were little moved on Wednesday as new issue activity tapered off ahead of the coming holidays.

"There's stuff trading out there," said one trader reached in the afternoon.

"In terms of movement, there's really not much. There seems to be a good demand in secondary, but yields are pretty much flat."

Amid the trading action, St. Louis Park, Minn., saw its recently priced bonds for Park Nicollett Health Services trading. The 5.75% 2039 bonds were seen at par during the afternoon.

Elsewhere, the Battery Park City Authority of New York's recently priced series 2009A revenue bonds were seen moving. The 6.375% 2039 bonds were seen trading at 5.97%.

Meanwhile, the remainder of the week and into the coming week will see light primary action ahead of the Christmas holiday.

"Frankly, we expect it to be really, really quiet," one sellsider noted.

"Everyone will be off and not much will be going through until next year."

Maryland bonds price

Looking at primary action, the Maryland Health and Higher Educational Facilities Authority priced Wednesday $243.8 million in series 2010 revenue bonds for the University of Maryland Medical System, said a sellside source familiar with the deal.

The bonds are due 2010 to 2019 with term bonds due 2024, 2029, 2034 and 2039. Coupons range from 3% to 5%, and yields range from 1.76% to 5.14%.

J.P. Morgan Securities Inc. was the senior manager.

Proceeds will be used to fund additional facilities costs for the medical system.

New York Muni Bond Bank prices

Elsewhere, the New York Municipal Bond Bank Agency priced Wednesday $184.6 million in series 2009 recovery act bonds, said a sellside source familiar with the offering.

The offering was conducted in three tranches: a series 2009A (/AA+/) tranche, a 2009B tranche (/A+/) and a 2009C (/A/ tranche), according to the sellsider

The bonds are due from 2010 to 2034 with coupons from 2% to 6.879% and yields from 0.45% to 6.879%.

The exact breakdown of the offering was not immediately available Wednesday afternoon.

Jefferies & Co. was the senior manager.

Proceeds will be used to distribute funds to local municipalities for various uses.

Higher education bonds planned for N.J.

In upcoming offerings, the Higher Education Student Assistance Authority of the State of New Jersey plans to price $338 million in series 2010-1 student loan revenue bonds, said a preliminary official statement.

The deal includes $300 million series 2010-1A refunding bonds and $38 million in series 2010-1B revenue bonds.

The bonds (Aa2/AA/) will be sold through senior manager Merrill Lynch & Co.

The 2010-1A bonds are due 2011 to 2018, 2032 and 2037 with term bonds due 2022, 2025, 2028 and 2029.

The 2010-1B bonds are due 2017 and 2019.

Proceeds will be used to fund student loans and to refund existing debt.

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