Labels:text | electronics | screenshot | display OCR: First Issue of Virginia Public Facilities Bonds Sold Page 82 RICHMOND, 1-8/US Newswire: State Treasurer Moore announced that the first issue of Commonwealth of Virginia Public Facilities Bonds were sold. Gov. Wilder joined the Treasury Board in accepting bids for the $100 million bond issue, which will provide funds for capital projects for higher educational facilities, parks & recreational facilities & mental health facilities. The bonds, which were approved by voters of the commonwealth, will be backed by a pledge of the full faith & credit of the commonwealth. Wilder stated he was very pleased with the results of the bond sale. "I am pleased the commonwealth could so quickly implement a bond financing that the voters approved just last November. These funds should greatly assist in priming the pump of the commonwealth's economy." The bonds were sold to a syndicate of underwriters headed by The First Boston Corp. The syndicate included Craigie Inc. & Davenport & Co. Inc ., both of Richmond. The low bid resulted in a true interest cost of 5.5136%. True interest cost is a common measure of the cost of borrowing, & was the basis of the award of the bonds. Moore stated the bids received were quite aggressive. "We received 5 bids for the bonds, ranging from 5.5136% to 5.5350%. The small difference between the high & low bids indicates that the market understands & appreciates the commonwealth's high credit quality." VA is 1 of 5 states to hold Triple A rating from the 3 credit rating agencies.
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