Hartsfield-Jackson Atlanta International Airport – 2011A, 2011B

Hartsfield-Jackson Atlanta International Airport
$440,390,000
Airport General Revenue Refunding Bonds
Series 2011A (Non-AMT) and 2011B (AMT)

In July 2011, Siebert Brandford Shank served as senior manager for $440 million of Airport General Revenue Refunding Bonds for the City of Atlanta and Hartsfield-Jackson Atlanta International Airport. The Series 2011 Bonds were issued to refund the Series 2000A-C Bonds. Approximately $431 million of orders were received during the retail order period, of which $395 million were placed by Siebert Brandford Shank (92%). The aggressive pricing levels during the retail order period created significant demand and Siebert Brandford Shank was able to leverage this strong retail demand, as well as a Treasury market rally in the early afternoon on July 19, to accelerate the institutional pricing to the afternoon of July 19, 2011 and to create an aggressive pricing level for the institutional order period.

The Airport’s non-AMT and AMT bonds priced at extremely tight spreads to MMD—the spreads to MMD for the non-AMT bonds ranged from between 50bps and 95bps across the yield curve, and the AMT bonds ranged from between 82bps and 165bps (the 2030 maturity was priced at MMD, plus 142bps).  As a result of these aggressive pricing levels, the City was able to increase the refunding transaction by $70 million and generate present value savings on the refunding of $49.0 million or 10.6% of refunded par.