Port Authority of NY & NJ sells $400 M in consolidated bonds

Port Authority of NY & NJ's Chairman David Samson announced the competitive sale of Consolidated Bonds, 171st Series, in the aggregate principal amount of $400 million. The 171st Series bonds were awarded on the basis of the lowest true interest cost of the bids received.

The 171st Series bonds, awarded to J.P. Morgan Securities LLC, at a price of $416,326,710.65, are composed of bonds due from July 15, 2030 to January 15, 2042, at interest rates ranging from 4 to 5 percent per year. The true interest cost to the Port Authority was 3.857499 percent, the lowest of the seven bids received.

The proceeds of the 171st Series bonds shall be allocated, as appropriate, to capital projects in connection with facilities of the Port Authority and for refunding of certain Port Authority obligations.

The bonds received an AA2 rating from Moody’s Investor Service, AA- from Standard and Poor’s Corporation, and AA- from Fitch Ratings Inc. The market reception for the sale continues to reflect investor confidence in the Port Authority’s financial strength. < Korea Shipping Gazette >