Massachusetts Port Authority – 2010-A, B, C & E

Massachusetts Port Authority
$316,945,000
Revenue Bonds, Series 2010-A,B (Non-AMT)
2010-C (AMT) & PFC 2010-E

In August 2010 Siebert Brandford Shank served as senior manager on $260 million of Revenue Bonds and $57 million of stand-alone PFC Revenue Bonds. This complex transaction funded a portion of Massport’s ongoing CIP and refunded existing revenue and PFC revenue bonds.

The one-day retail order period prior to the institutional pricing with $127 million offered resulted in $116 million of orders received of which $80 million were placed by Siebert Brandford Shank (70%).

Strong demand for the bonds allowed yields to be reduced on the Bonds resulting in the tightest spreads to MMD of any airport financing since the credit crisis. This aggressive pricing resulted in an all-in TIC for the non-AMT Bonds of 4.27% (17.7 year average life), an all-in TIC for the Series 2010C AMT Bonds of 2.82% (4.8 year average life) and an all-in TIC for the Series 2010E PFC Bonds of 2.30% (2.8 year average life).

Massport was able to generate $13.5 million of present value savings on the fixed-to-fixed rate refundings or 8.9% of refunded par.