April 26, 2012 TO ALL BIDDERS TOWN OF MONROE, CONNECTICUT GENERAL OBLIGATION BONDS COMPRISED: $3,605,000 GENERAL OBLIGATION BONDS, ISSUE OF 2012, SERIES B BOOK-ENTRY-ONLY DATED: MAY 24, 2012 DUE: MAY 15, 2014 – 2027 AND $460,000 GENERAL OBLIGATION BONDS (TAXABLE), ISSUE OF 2012, SERIES C BOOK-ENTRY-ONLY DATED: MAY 24, 2012 DUE: MAY 15, 2014 – 2022 Enclosed are the Town of Monroe, Connecticut's Notices of Sale which allows for electronic bidding through PARITY®. Per the official Notices of Sale, electronic bids for the Series B Bonds will be received on behalf of Town Officials at the office of the Director of Finance, Town of Monroe, Town Hall, 7 Fan Hill Road, Monroe, Connecticut 06468 until 11:00 A.M. (E.D.T.), AND electronic bids for the Series C Bonds will be received on behalf of Town Officials at the office of the Director of Finance, Town of Monroe, Town Hall, 7 Fan Hill Road, Monroe, Connecticut 06468 until 11:30 A.M. (E.D.T.),on THURSDAY, MAY 10, 2012 If there are any questions regarding the Notice of Sale, please note that a representative of IBIC will be available on the morning of the sale at the following phone number. Phone number (Monroe): (203) 452-2802 ext. 8 We trust we may be of service. OFFICIAL STATEMENT NEW ISSUE MOODY'S RATING: (See "Ratings" herein) In the opinion of Bond Counsel, rendered in reliance upon and assuming the accuracy of and continuing compliance by the Town of Monroe, Connecticut with its representations and covenants relating to certain requirements of the Internal Revenue Code of 1986 as amended (the "Code"), under existing law, interest on the Series B Bonds (as defined herein) is excludable from gross income of the owners thereof for federal income tax purposes and will not be treated as a preference item for purposes of computing the federal alternative minimum tax; however, with respect to certain corporations (as defined for federal income tax purposes) subject to the federal alternative minimum tax, such interest is taken into account in computing the federal alternative minimum tax, as described under Tax Exemption of the Series B Bonds herein. In the opinion of Bond Counsel, under existing law, interest on the Series C Bonds(as defined herein) is NOT excluded from gross income for federal income tax purposes pursuant to the Internal Revenue Code of 1986, as amended (the “Code”). See Tax Status of the Series C Bonds herein. In the opinion of Bond Counsel, under existing statutes, interest on the Bonds is excluded from Connecticut taxable income for purposes of the Connecticut income tax on individuals, trusts and estates, and is excluded from amounts on which the net Connecticut minimum tax is based in the case of individuals, trusts and estates required to pay the federal alternative minimum tax. See Tax Exemption of the Series B Bonds and Tax Status of the Series C Bonds. TOWN OF MONROE, CONNECTICUT GENERAL OBLIGATION BONDS COMPRISED OF: $3,605,000 GENERAL OBLIGATION BONDS, ISSUE OF 2012, SERIES B AND $460,000 GENERAL OBLIGATION BONDS (TAXABLE), ISSUE OF 2012, SERIES C BOOK-ENTRY ONLY Dated: Date of Delivery Due: Serially May 15 as shown herein The $3,605,000 General Obligation Bonds, Issue of 2012, Series B (the "Series B Bonds") and the $460,000 General Obligation Bonds (Taxable), Issue of 2012, Series C (the "Series C Bonds" and collectively as the "Bonds") will be general obligations of the Town of Monroe, Connecticut (the "Town"), and the Town will pledge its full faith and credit to pay the principal of and interest on the Bonds when due. (See "Security and Remedies" herein.) Interest on the Bonds will be payable semiannually on May 15 and November 15 in each year until maturity, commencing November 15, 2012. The Bonds will be issued by means of a book-entry-only system and registered in the name of Cede & Co., as nominee for The Depository Trust Company ("DTC"), New York, New York. The Beneficial Owners of the Bonds will not receive certificates representing their ownership interest in the Bonds. Principal of, redemption premium, if any, and interest on the Bonds will be payable by the Town or its agent to DTC or its nominee as registered owner of the Bonds. Ownership of the Bonds may be in principal amounts of $5,000 or integral multiples thereof. DTC will act as security depository for the Bonds. So long as Cede & Co. is the Bondowner, as nominee for DTC, reference herein to the Bondowner or owners, shall mean Cede & Co., as aforesaid, and shall not mean the Beneficial Owners (as described herein) of the Bonds. (See "Book-Entry-Only Transfer System" herein.) The Certifying, Registrar, Transfer and Paying Agent for the Bonds will be U.S. Bank National Association, of Hartford, Connecticut. The Bonds are subject to optional redemption prior to maturity as described herein. (See "Optional Redemption" herein.) The Bonds are being offered for sale in accordance with the official Notices of Sale dated April 26, 2012. Electronic bids via PARITY® for the Series B Bonds will be received until 11:00 A.M. (E.D.T.) on Thursday, May 10, 2012 as described in the Notice of Sale for the Series B Bonds. (See "Appendix E – Notice of Sale –Series B Bonds" herein). Electronic bids via PARITY® for the Series C Bonds will be received until 11:30 A.M. (E.D.T.) on Thursday, May 10, 2012 as described in the Notice of Sale for the Series C Bonds. (See "Appendix F – Notice of Sale –Series C Bonds" herein). The Bonds are offered for delivery when, as and if issued, subject to the approving opinion of Pullman & Comley LLC, Bond Counsel, of Hartford and Bridgeport, Connecticut. It is expected that delivery of the Bonds in definitive book-entry form will be made to DTC in New York, New York on or about May 24, 2012. Dated: April 26, 2012 TOWN OF MONROE, CONNECTICUT $3,605,000 GENERAL OBLIGATION BONDS, ISSUE OF 2012, SERIES B MATURITY SCHEDULE AND AMOUNTS Dated: Date of Delivery Due: May 15, as shown below Interest Interest Maturity Amount Rate Yield CUSIP Maturity Amount Rate Yie ld CUSIP 2014 $ 225,000 %%610423*** 2021 $ 250,000 %%610423*** 2015 225,000 610423*** 2022 250,000 610423*** 2016 225,000 610423*** 2023 255,000 610423*** 2017 225,000 610423*** 2024 275,000 610423*** 2018 225,000 610423*** 2025 325,000 610423*** 2019 225,000 610423*** 2036 325,000 610423*** 2020 250,000 610423*** 2027 325,000 610423*** TOWN OF MONROE, CONNECTICUT $460,000 GENERAL OBLIGATION BONDS (TAXABLE), ISSUE OF 2012, SERIES C MATURITY SCHEDULE AND AMOUNTS Dated: Date of Delivery Due: May 15, as shown below Interest Interest Maturity Amount Rate Yield CUSIP Maturity Amount Rate Yield CUSIP 2014 $ 50,000 %%610423*** 2019 $ 50,000 %%610423*** 2015 50,000 610423*** 2020 50,000 610423*** 2016 50,000 610423*** 2021 55,000 610423*** 2017 50,000 610423*** 2022 55,000 610423*** 2018 50,000 610423*** No dealer, broker, salesman or other person has been authorized by the Issuer to give any information or to make any representations, other than those contained in this Official Statement or any supplement which may be issued hereto; and if given or made, such other information or representations must not be relied upon as having been authorized by the Issuer. This Official Statement does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the Bonds by any person in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale. This Official Statement is not to be construed as a contract or agreement between the Issuer and the purchasers or holders of any of the Bonds. Any statements made in this Official Statement involving matters of opinion or estimates are not intended to be representations of fact, and no representation is made that any such opinion or estimate will be realized. The presentation of information in this Official Statement is intended to show recent historic trends and is not intended to indicate future or continuing trends in financial or other positions of the Issuer. No representation is made that past experience, as might be shown by financial or other information herein, will necessarily continue or be repeated in the future. Neither the delivery of this Official Statement nor any sale of the Bonds shall, under any circumstances, create any implication that there has been no material change in the affairs of the Issuer since the date of the Official Statement. The information, estimates and expressions of opinion in this Official Statement are subject to change without notice. All quotations from and summaries and explanations of provisions of statutes, charters, or other laws and acts and proceedings of the Issuer contained herein do not purport to be complete, are subject to repeal or amendment, and are qualified in their entirety by reference to such laws and the original official documents. All references to the Bonds and the proceedings of the Issuer relating thereto are qualified in their entirety by reference to the definitive form of the Bonds and such proceedings. The independent auditors for the Issuer are not passing upon and do not assume responsibility for the sufficiency, accuracy or completeness of the financial information presented in this Official Statement (other than matters expressly set forth in Appendix A, "Financial Statements" herein), and makes no representation that it has independently verified the same. The auditors have not been engaged nor performed audit procedures regarding the post audit period.