Munis end quiet session unchanged ahead of Labor Day; MTA Bridges and Tunnels announces sale

By Sheri Kasprzak

New York, Sept. 4 - Activity in both the primary and secondary markets Friday ground to a halt ahead of the Labor Day holiday as market insiders headed off to celebrate the unofficial end of summer.

"There is nothing going on," said one trader reached in the afternoon. "I'm about to leave myself. There are only a few people here. I'm pretty sure that's true just about everywhere today."

The trader noted that a few things were moving, but the tone of the market was flat.

In Friday's light trading activity, the taxable pension bonds recently priced by Connecticut's City of Waterbury were moving. The 7.089% 2038 bonds were seen at 6.829%. The bonds priced during the week at par.

Elsewhere, the Tarrant County Cultural Education Facility Financing Authority of Texas' bonds sold for Hendrick Medical Center were trading. The 5.125% 2025s were seen at 4.734% after pricing at 5.02%. The 5% 2023s were seen at 4.882%, and the 4.75% 2020s were seen at 4.516%.

Primary thins

Looking ahead, the coming week will be fairly slow on the primary front. The largest sale of the week comes from Novant Health of Winston-Salem, N.C. The health-care system plans to sell $300 million in series 2009A taxable bonds (A1/A+/AA-) on Wednesday.

Merrill Lynch & Co. Inc. and J.P. Morgan Securities Inc. will bring the bonds to market.

Proceeds will refinance a revolving credit facility used to pay off debt owed to MedQuest.

On Thursday, the North Carolina Municipal Power Agency No. 1 plans to sell $292.52 million in series 2009 Catawba Electric revenue bonds (A2/A/A) through Morgan Stanley & Co. Inc.

Proceeds will be used to refund existing debt and terminate a swap agreement.

Triborough Bridge deal ahead

Also ahead, the Triborough Bridge and Tunnel Authority in New York is set to price $158 million in series 2009B general revenue Build America Bonds for MTA Bridges and Tunnels Thursday, said a preliminary official statement.

The bonds will be sold competitively with Goldman, Sachs & Co. as the financial adviser.

The bonds are due 2035 to 2039.

Proceeds will be used to fund miscellaneous capital projects for MTA Bridges and Tunnels.

New Mexico hospital sale planned

Out on the horizon, the New Mexico Hospital Equipment Loan Council plans to sell $135 million in series 2009 hospital system revenue bonds for Presbyterian Health Care Services, said a preliminary official statement.

The deal includes series 2009A fixed-rate bonds and series 2009B term-rate bonds, but the exact breakdown had not been determined Friday.

The bonds (Aa3/AA-/AA-) will be sold through senior manager Goldman Sachs.

The maturities have not been set.

Proceeds will be used to reimburse the health-care system for the construction, equipment and acquisition of a full-service hospital in Rio Rancho, N.M.

The council has headquarters in Albuquerque.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.