New Issue: Texas brings $7.8 billion in TRANs at 0.34% weighted average NIC

By Sheri Kasprzak

New York, Aug. 24 - The State of Texas sold Tuesday $7.8 billion in series 2010 tax and revenue anticipation notes, said a term sheet.

The notes (MIG 1/SP-1+/F1+) were sold competitively with a number of winners. The weighted net interest cost came in at 0.34069834359%.

Morgan Stanley & Co. Inc. won the largest portion of the notes, totaling roughly $3.3 billion. J.P. Morgan Securities Inc. won the next largest chunk - $1.6 billion. Wells Fargo Bank, NA, Goldman, Sachs & Co., Citigroup Global Markets Inc., Barclays Capital Inc., Hutchinson Shockey Erley & Co. and Jefferies & Co. also took portions of the notes.

The notes are due Aug. 31, 2011 and have a 2% coupon priced at 101.664.

Proceeds will be used to avoid a potential budget shortfall for the remainder of the fiscal year.

Issuer:	State of Texas
Issue:	Series 2010 tax and revenue anticipation notes
Amount:	$7.8 billion
Maturity:	Aug. 31, 2011
Coupon:	2%
Price:	101.664
Type:	Competitive
Underwriters:	Morgan Stanley & Co. Inc., J.P. Morgan Securities Inc., Wells Fargo Bank, NA, Goldman, Sachs & Co., Citigroup Global Markets Inc., Barclays Capital Inc., Hutchinson Shockey Erley & Co. and Jefferies & Co.
Weighted NIC:	0.34069834359%
Ratings:	Moody's: MIG 1
	Standard & Poor's: SP-1+
	Fitch: F1+
Pricing date:	Aug. 24
Settlement date:	Aug. 31

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