City of Winston-Salem, North Carolina
PRELIMINARY OFFICIAL STATEMENT DATED MARCH 9, 2016 NEW ISSUE RATINGS: S&P: AAA FULL BOOK-ENTRY - ONLY Moody’s: Aa1 Fitch: AA+ (See “MISCELLANEOUS – Ratings” herein) In the opinion of Parker Poe Adams & Bernstein LLP, Bond Counsel, under existing law (1) assuming compliance by the City with certain requirements of the Internal Revenue Code of 1986, as amended (the “Code”), interest on the 2016A Bonds (a) is excludable from gross income for federal income tax purposes and (b) is not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals and corporations, (2) interest on the 2016B Bonds is taxable as ordinary income for federal income tax purposes, and (3) interest on the 2016 Bonds is exempt from State of North Carolina income taxation. See “TAX TREATMENT” herein. $129,735,000* CITY OF WINSTON-SALEM, NORTH CAROLINA $118,400,000* $11,335,000* Water and Sewer System Taxable Water and Sewer System Revenue Refunding Bonds, Revenue Refunding Bonds, Series 2016A Series 2016B Dated: Date of Delivery Due: As shown below The City of Winston-Salem, North Carolina Water and Sewer System Revenue Refunding Bonds, Series 2016A (the “2016A Bonds”) and its Taxable Water and Sewer System Revenue Refunding Bonds, Series 2016B (the “2016B Bonds” and collectively with the 2016A Bonds, the “2016 Bonds”) are issuable as fully registered bonds. The 2016 Bonds are being issued for the purpose of (1) refunding the City’s Water and Sewer System Revenue and Revenue Refunding Bonds, Series 2007A, maturing on and after June 1, 2018, (2) refunding the City’s Water and Sewer System Revenue Bonds, Series 2009, maturing on and after June 1, 2020, (3) refunding the City’s Water and Sewer System Revenue Bonds, Series 2010A, maturing on and after June 1, 2021 and (4) paying the costs of issuing the 2016 Bonds.
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