Municipals end mostly flat with Treasuries; Oregon prices $642.78 million of short-term notes

By Sheri Kasprzak

New York, July 30 - Municipals followed along with Treasuries on Tuesday, ending little changed in a relatively light primary session, market sources said.

"Some [high-grade] names are maybe a touch firmer, but I'd call it flat overall," a trader said during the early afternoon. "We're following along with Treasuries."

Treasuries were little changed throughout the session ahead of the Federal Open Market Committee's July meeting on Wednesday.

Meanwhile, mutual funds were the primary sellers during the session, a market source said.

Oregon leads offerings

Amid the light primary activity on Tuesday, the State of Oregon offered $642,775,000 of series 2013A full faith and credit tax anticipation notes, said a pricing sheet.

The notes (MIG 1/SP-1+/F1+) were sold through lead managers BofA Merrill Lynch and Citigroup Global Markets Inc.

The notes are due July 31, 2014, have a 1.5% coupon and priced at 101.292.

Proceeds will be used to meet seasonal cash needs for the state ahead of the collection of certain taxes.

Emory University bonds price

Also during the day, the Private Colleges and Universities Authority of Georgia hit the market with $207,655,000 of series 2013A revenue bonds for Emory University, said a pricing sheet.

The bonds (Aa2/AA/AA+) were sold through Barclays.

The bonds are due 2014 to 2022 with a term bond due in 2043. The serial coupons range from 3% to 5%. The 2043 bonds have a 5% coupon and priced at 103.285.

Proceeds will be used to refund the university's series 2002A and 2005A revenue bonds and its series 2010 commercial paper notes.

Alabama G.O. bonds ahead

Looking out on the horizon, the State of Alabama announced Tuesday that it plans to come to market with $172,525,000 of series 2013 general obligation bonds on Aug. 7.

The bonds (Aa1/AA/AA+) will be sold competitively with Public Financial Management Inc. as the financial adviser, according to a preliminary official statement.

The offering includes $137.69 million of series 2013A G.O. refunding bonds, $33 million of series 2013B G.O. capital improvement bonds and $1,835,000 of series 2013C G.O. refunding bonds.

The 2013A bonds are due 2014 to 2025, the 2013B bonds are due 2014 to 2033, and the 2013C bonds are due 2014 to 2021.

Proceeds will be used to finance economic development capital projects and refund existing G.O. debt.

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