UBS Investment Bank Bear, Stearns & Co
Total Page:16
File Type:pdf, Size:1020Kb
In the opinion of Co-Bond Counsel, under existing statutes, regulations, rulings and court decisions, assuming continuing compliance with certain tax covenants and the accuracy of certain representations of the Authority (as defined below), interest on the 2007A Bonds (as defined below) will be excludable from gross income for federal income tax purposes, except interest on a 2007A Bond (as defined below) for any period during which that 2007A Bond is held by a “substantial user” or a “related person” as those terms are used in Section 147(a) of the Internal Revenue Code of 1986, as amended. Interest on the 2007A Bonds will be an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals and corporations. See “TAX MATTERS” herein for a description of certain other federal tax consequences of ownership of the 2007A Bonds. Co-Bond Counsel is further of the opinion that the 2007A Bonds and the interest thereon will not be subject to taxation under the laws of the State of Florida, except as to estate taxes and taxes imposed by Chapter 220, Florida Statutes, on interest, income or profits on debt obligations owned by corporations, as defined in Chapter 220. For a more complete discussion of certain tax aspects relating to the 2007A Bonds, see “TAX MATTERS” herein. NEW ISSUE – BOOK-ENTRY ONLY RATINGS: See “RATINGS” herein GREATER ORLANDO AVIATION AUTHORITY $141,485,000 Airport Facilities Refunding Revenue Bonds Series 2007A (AMT) of the City of Orlando, Florida Dated: Date of Delivery Due: As shown on inside cover The $141,485,000 Greater Orlando Aviation Authority Airport Facilities Refunding Revenue Bonds, Series 2007A (AMT) of the City of Orlando, Florida (the “2007A Bonds”) are revenue bonds issued by the Greater Orlando Aviation Authority (the “Authority”), an agency of the City of Orlando, Florida (the “City”), under and pursuant to the Constitution and laws of Florida, including particularly, the Act (as defined herein), and other applicable provisions of law, and pursuant to the Airport Facilities Revenue Bond Resolution, adopted by the Authority on June 13, 1978, as amended and supplemented from time to time (the “Airport Facilities Revenue Bond Resolution”), and as specifically supplemented by the Supplemental Airport Facilities Revenue Bond Resolution, adopted by the Authority on June 20, 2007 (the “2007 Supplemental Resolution,” and together with the Airport Facilities Revenue Bond Resolution, the “Bond Resolution”). See “SUMMARY OF CERTAIN PROVISIONS OF THE AIRPORT FACILITIES BOND RESOLUTION” attached hereto as APPENDIX A. The 2007A Bonds are being issued for the purpose of providing funds sufficient, together with other available funds of the Authority, to: (a) currently refund and redeem the Greater Orlando Aviation Authority’s Airport Facilities Revenue Bonds, Series 1997 of the City of Orlando, Florida maturing on and after October 1, 2012 (the “1997 Refunded Bonds”), (b) pay a redemption premium with respect to the 1997 Refunded Bonds, and (c) pay certain costs of issuance of the 2007A Bonds, including, but not limited to, a portion of the cost of a municipal bond insurance policy. See “THE 2007A REFUNDING PROGRAM” and “ESTIMATED SOURCES AND USES OF FUNDS” herein. The 2007A Bonds are being issued as fully registered bonds and will initially be registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York, New York (“DTC”). Individual purchases of beneficial interests in the 2007A Bonds will be made in book-entry only form, in the principal amount of $5,000 and any integral multiple of $5,000. Interest on the 2007A Bonds will accrue from their dated date and will be payable on April 1 and October 1 of each year commencing on October 1, 2007. Purchasers of beneficial interests in the 2007A Bonds will not receive physical delivery of certificates. Transfers of beneficial interests in the 2007A Bonds will be effected through the DTC book-entry system as described herein. The 2007A Bonds will not be transferable or exchangeable, except for transfer to another nominee of DTC or otherwise as described herein. Principal, interest, and the redemption price, if any, with respect to the 2007A Bonds will be payable by Bank of New York Trust Company, N.A, as paying agent in Jacksonville, Florida for the 2007A Bonds to Cede & Co., as nominee of DTC. See “BOOK-ENTRY ONLY SYSTEM” herein. The 2007A Bonds are subject to optional redemption prior to maturity, all as more fully described herein. See “DESCRIPTION OF THE 2007A BONDS” herein. The scheduled payment of principal of and interest on the 2007A Bonds when due will be guaranteed under an insurance policy to be issued concurrently with the delivery of the 2007A Bonds by FINANCIAL SECURITY ASSURANCE INC., (the “Insurer”) as described herein. For a description of the terms and provisions of such policy, including the limitations thereof, see “MUNICIPAL BOND INSURANCE” herein. The 2007A Bonds are limited obligations, payable solely from and secured by a pledge of certain Revenues (as defined herein) derived by the Authority from the operation of the Airport System (as defined herein) and other funds as described herein. The pledge and lien of the 2007A Bonds upon the Revenues is on a parity as to payment with the Outstanding Airport Facilities Revenue Bonds and any Additional Bonds (as each is defined herein) hereafter issued under the Bond Resolution. See “SECURITY FOR THE 2007A BONDS” herein. The Authority has entered into Lease and Use Agreements (as defined herein) with certain airlines serving the Orlando International Airport that provide for the payment of fees and charges by such airlines as more fully described herein. See “AIRLINE REVENUES AND OTHER REVENUE SOURCES” herein. THE 2007A BONDS ARE NOT OBLIGATIONS OF THE STATE OF FLORIDA OR GENERAL OBLIGATIONS OF THE AUTHORITY, THE CITY OR ANY POLITICAL SUBDIVISION OF THE STATE OF FLORIDA. NEITHER THE FAITH AND CREDIT NOR THE TAXING POWER OF THE CITY, THE STATE OF FLORIDA OR ANY POLITICAL SUBDIVISION THEREOF IS PLEDGED TO THE PAYMENT OF THE PRINCIPAL OF THE 2007A BONDS, OR THE INTEREST OR PREMIUM, IF ANY, THEREON. THE AUTHORITY HAS NO TAXING POWER. THE PRINCIPAL OF AND INTEREST ON THE 2007A BONDS SHALL NOT BE PAYABLE FROM OR BE A CHARGE OR LIEN ON ANY FUNDS OF THE CITY OR THE AUTHORITY OTHER THAN THOSE PLEDGED UNDER THE BOND RESOLUTION TO THE PAYMENT THEREOF. This cover page contains certain information for quick reference only. It is not a summary of the 2007A Bonds. Investors should read this entire Official Statement to obtain information essential to the making of an informed investment decision. The 2007A Bonds are offered when, as and if issued, and subject to the approval of legality by Greenberg Traurig, P.A., Orlando, Florida, and Ometrias D. Long and Associates, P.A., Winter Park, Florida, Co-Bond Counsel. Certain legal matters will be passed on for the Authority by Broad and Cassel and Ruye H. Hawkins, P.A., Orlando, Florida, Co-Issuer’s Counsel to the Authority. Marchena and Graham, P.A., Orlando, Florida, has served as Disclosure Counsel. Certain legal matters in connection with the 2007A Bonds will be passed upon for the Underwriters by Robert P. Saltsman, P.A., Winter Park, Florida, counsel to the Underwriters. Merrill Lynch & Co. Inc., Orlando, Florida and National Minority Consultants, Inc., Winter Park, Florida are Co-Financial Advisors to the Authority. It is expected that the 2007A Bonds in definitive form will be ready for delivery in New York, New York on or about August 9, 2007. UBS Investment Bank Bear, Stearns & Co. Inc. Raymond James Citi Estrada Hinojosa First Albany Capital First Southwest Company Gardnyr Michael Capital Loop Capital Markets, LLC M. R. Beal & Company RBC Capital Markets SunTrust Capital Markets Dated: July 27, 2007 GREATER ORLANDO AVIATION AUTHORITY $141,485,000 Airport Facilities Refunding Revenue Bonds Series 2007A (AMT) Maturities, Principal Amounts, Interest Rates, Prices or Yields and Initial CUSIP Numbers Maturity Principal Interest Price or CUSIP October 1, Amount Rate Yield Number1 2012 9,675,000 5.000% 4.160% 392274VG8 2013 5,000,000 4.500% 4.210% 392274VJ2 2013 5,165,000 5.000% 4.210% 392274VH6 2014 10,650,000 5.000% 4.260% 392274VK9 2015 11,180,000 5.000% 4.310% 392274VL7 2016 11,740,000 5.000% 4.360% 392274VM5 2017 12,325,000 5.000% 4.410% 392274VN3 2018 12,940,000 5.000% 104.030* 392274VP8 2019 13,590,000 5.000% 103.700* 392274VQ6 2020 14,270,000 5.000% 103.453* 392274VR4 2021 14,980,000 5.000% 103.207* 392274VS2 2022 15,730,000 5.000% 103.044* 392274VT0 2023 4,240,000 5.000% 102.799* 392274VU7 *Priced to the first optional call date of October 1, 2017 1 CUSIP Numbers are included solely for the convenience of the reader of this Official Statement. The Authority takes no responsibility for the accuracy or use of the CUSIP Numbers in this Official Statement. Greater Orlando Aviation Authority One Airport Boulevard Orlando, Florida 32827-4399 (407) 825-2001 Authority Board Members Name Position Jeffry Fuqua Chairman Jacqueline Bradley Vice-Chairperson Jose A. Rey Treasurer The Honorable Buddy Dyer Mayor, City of Orlando The Honorable Richard T. Crotty Mayor, Orange County Robert W. Theisen, Jr. Member Jeanne Van Meter Member City Council Commissioners Buddy Dyer, Mayor Phil Diamond Daisy W. Lynum Betty T. Wyman Patty Sheehan Robert F. Stuart Samuel B. Ings Authority Management Name Position G. Steve Gardner Executive Director Kevin A. Dillon Deputy Executive Director-Operations Robert L. Gilbert Deputy Executive Director-Facilities C. Christian Schmidt Deputy Executive Director -Properties and Economic Development Dayci S. Burnette-Snyder Assistant Secretary and Manager of Board Services Jacki M.