County Executive Leopold Announces Sale of $145 Million in General Obligation Bonds
County maintains bond ratings from Wall Street
Annapolis (April 9, 2009) - County Executive John R. Leopold announced that $145 million in general obligation bonds were sold yesterday at an interest rate of 3.69 percent, which will mean that County taxpayers will benefit from the low interest rate received from the competitive bidding process.
"In this difficult economy it was tough to predict what kind of rate the County would receive given the scarcity of funds in the financial sector, but we did very well because the rating agencies on Wall Street have confidence in our financial planning," County Executive Leopold said. "The combination of favorable bond ratings and low interest rates bodes well for our capital program."
Wachovia Securities, a subsidiary of Wells Fargo Bank, was the winning bidder. The bond sale comes after Standard & Poors, Fitch Ratings and Moody’s Investors Service all reported within the last week that Anne Arundel County will maintain its bond ratings, which were AAA from Standard & Poors, AA+ from Fitch and Aa1 from Moody’s. Bond sales in 2008, 2007 and 2006 all resulted in interest rates above 4 percent.