Phoenix LXVII; Route66 - Aftermath

[OthmarAmmann]

this I do not know. I didnt see any docs, just the results of the sale. In their rating action either Moody's or S&P mentioned that these were second lien and were replacing third lien.

 

[knorthern knight]

In more normal times, Glendale would've had difficulty selling these bonds. But with QE ("Quantitative Easing") by the US Fed, interest rates are ridiculously low.

 

[OthmarAmmann]

That is of course the point of QE. Of course, the Fed was pursuing an accommodative monetary policy during Glendale's two failed GO issues.

One could also say that during normal times you wouldn't see a small suburban city rack up several hundred million dollars of debt on sports infrastructure, but I digress.

 

[barneyg]

What does that even mean? I'm just a dumb hockey fan, did they sell? does this mean they were able to reduce the debt payment as they hoped?In Killions mysterious conspiracy world, who is the buyer of these bonds and what hold do they now have on the new city council?

I just want to add to what Thomas L wrote for those interested in those mechanics.

"Bid at premium" means the interest rate on the new bonds (5%) is higher than what the market is asking for (3-4%), so investors will pay more than the face value of the bonds (=premium), hence Glendale will be getting $250-275 million for bonds with a face value of $239 million. They can then turn around and buy (call) back bonds that they had previously issued.

The key to understanding where the savings will come from is that Glendale can call back the old bonds by only paying their face value, as opposed to their market value. This feature is common with munis, not so much with corporate bonds.

In other words, the COG can buy back bonds with a total face value of $250-275 million by issuing bonds with a face value of $239 million. At 5%, the actual interest (coupon) rate on those new bonds isn't any lower than the rate on the old bonds (3-6% according to the November 13 workshop papers), but the $11-36 million reduction in face value means the city will pay interest on a lower principal amount for the next 10-20 years, hence the savings.

 

[OthmarAmmann]

Ya, I didn't really remember much other than the coupon, which is why I mentioned all the other crap. The details were more directed to Barney et al.

I will return to making stupid comments about lawyers and Joyce (I know you love it K daddy).

 

[CasualFan]

Ya, I didn't really remember much other than the coupon, which is why I mentioned all the other crap. The details were more directed to Barney et al.

I will return to making stupid comments about lawyers and Joyce (I know you love it K daddy).

The Leather Sheik fan club appreciates this direction; and who cares what lawyers think

 

[BAdvocate]

Yes they sold and yes the new bonds will reduce the debt service. They were purchased by several different investors in the municipal bond market.

When will they name the investors...otherwise they don't really exist....

 

[OthmarAmmann]

When will they name the investors...otherwise they don't really exist....

Oh they exist, and they sure as help know who they just gave $239 million to. CoG on the other hand.....

 

[OttawaRoughRiderFan*]

So... Nothing new???

 

[powerstuck]

So...one week for Jones et company to fail at referendum and then one month for Jamison to fail and meet the end of January deadline...and the season to be canceled two ***** before the deadline.

 

[BoltSTH]

Like SNG "The Royale". Where Jaminson is playing the part of Riker and the 'foreign investors'

http://en.wikipedia.org/wiki/The_Royale

 

[NHLfan4life]

So... Nothing new???

So....where are we on "The List"?

 

[rt]

So...one week for Jones et company to fail at referendum and then one month for Jamison to fail and meet the end of January deadline...and the season to be canceled two ***** before the deadline.

I just can't come up with what those asterisks could represent. Little help?

 

[OthmarAmmann]

Maybe the whole "two *****" meme became so obscene that "*****" was added to the filter?

 

[Stanley Cup]

2 ***** is censored???

Edit :

 

[manisback121]

The Leather Sheik fan club appreciates this direction; and who cares what lawyers think

Times I wonder why i went back for an llm. Yeah, thats why ive disappeared. It was implied if i wanted equity, need to know a ******** about tax, litigating it, etc.

My 2 cents is what the **** happened with council....and if the name of business is make money....how do you expect to do so with small media market teams with no ad dough.

Bettman is an idiot on this one.

 

[powerstuck]

I just can't come up with what those asterisks could represent. Little help?

W****

You guys know it's a damned word, it's been heard many times in phrases like ''Not months but...'' anyway, it's censored because I feel like if I say it, it might aswell be doubled or tripled, and I don't want that.

Anyway, Merry Christmas everyone !

 

[ajmidd12]

W****

You guys know it's a damned word, it's been heard many times in phrases like ''Not months but...'' anyway, it's censored because I feel like if I say it, it might aswell be doubled or tripled, and I don't want that.

Anyway, Merry Christmas everyone !

Wait a minute.... w****s is censored but Merry Christmas or Joyce Clarke is allowed?

What is this the FCC?!?!

 

[cbcwpg]

Wait a minute.... w****s is censored but Merry Christmas or Joyce Clarke is allowed?

What is this the FCC?!?!

What should be censored are pictures of Joyce Clark.

 

[mesamonster]

Well today GB and his policy wonks in NYC cancelled games up until Jan.14th! Lets not kid ourselves this season is toast and the owners are busy writing checks for the expenses that never go away. GJ is just counting the days till he becomes a free man. The day he can phone Joyce and say that his heart is no longer in the purchase and he will be dropping his bid. To JC he will say thanks for your unwavering support by the way, GB put me up to this and now I will have a position with him at headquarters. Thats all folks, the last game played in Jobing was a PO game against LA, hope the fan faithful enjoyed it.

 

[Killion]

Thats all folks, the last game played in Jobing was a PO game against LA, hope the fan faithful enjoyed it.

... wouldnt be so quick to write the Epitaph there mesa.

 

[GF]

... wouldnt be so quick to write the Epitaph there mesa.

Well the team has been dying for the last 4 years... Maybe it's time to think about the Epitaph.

 

[OttawaRoughRiderFan*]

So....where are we on "The List"?

Right on schedule.

 

[mesamonster]

... wouldnt be so quick to write the Epitaph there mesa.

I find absolutely nothing in the present fundamentals that could possibly lead me to another conclusion! GJ has said nothing to make me believe differently, at the end of the day, even with the COG largesse and a $170MM purchase price this is a losing proposition for any owner. Which is precisely why i have always said that GJ is nothing but an apparition empowered to say and do nothing!

 

[TheLegend]

I find absolutely nothing in the present fundamentals that could possibly lead me to another conclusion! GJ has said nothing to make me believe differently, at the end of the day, even with the COG largesse and a $170MM purchase price this is a losing proposition for any owner. Which is precisely why i have always said that GJ is nothing but an apparition empowered to say and do nothing!

Wow.... I wasn't aware the NHL included you in Jamison's vetting process.