|
|
|
|
|
|
|
 |
 Edison announces pricing of $43 million tax exempt bond Thursday, May 03, 2001 Edison Schools announced that two of its clients, the Detroit Academy of Arts and Sciences and the YMCA Service Learning Academy, have priced a $43 million tax-exempt bond financing. The bonds will be issued by the Michigan Municipal Bond Authority and underwritten by JP Morgan Securities Inc. The proceeds will be used to finance facilities and equipment at the schools. Approximately $20 million of the proceeds will be used to refinance existing indebtedness and purchase real estate for existing facilities, including repayment to Edison of certain loans that the company made during the construction and early phases of these schools. Additionally, $17 million will be used for new construction, and the remainder for reserves, fees and other expenses. The bonds are rated Ba1 with a positive outlook by Moody's Investors Service. The closing is expected to occur on May 16, 2001. Edison and JP Morgan intend to replicate this deal structure nationwide at other Edison-managed charter schools that require facilities financing. Ksixteen LLC assisted Edison in this transaction with real estate and financial advisory services. Except for the historical information contained in this announcement, the matters discussed are forward looking statements (as that term is used in the Private Securities Litigation Reform Act of 1995) that involve risks and uncertainties, including risks detailed from time to time in Edison's filings with the Securities and Exchange Commission. In particular, Edison calls to the reader's attention the risk factors described in its Quarterly Report on Form 10-Q dated February 14, 2001 under the heading Additional Risk Factors That May Affect Future Results. Any such forward-looking statements speak only as of the date such statements are made, and Edison undertakes no obligations to publicly release the results of any revision to these forward-looking statements or otherwise update or supplement this announcement or risk factors contained herein.
|
 |
 |
|
 |
||||