" The Power Revenue Refunding Bonds, Series 2018A, will include the Series 2003, 2006, and 2007 Bonds. The expected transaction closing date is early May."
DETROIT PAID OFF ALL OF SYNCORA a few months ago
PUERTO RICO IS HALF PREPA + HALF GOs so we all know that one - fully reserved
The financial effects of this agreement and other related disclosures are expected to be disclosed at a later date.
“We are extremely pleased to enter into this reinsurance agreement which effectively caps our insured exposure, leaving SGI in a more stable financial position and making it possible for us to return value to our stakeholders, subject to approval, including by the New York Department of Financial Services,” commented Frederick B. Hnat, the President and Chief Executive Officer of SGI. “We look forward to working with Assured Guaranty in transitioning certain administrative functions associated with the ceded portfolio.”
SGI’s remaining insured portfolio of approximately $1.29 billion of net par outstanding would consist of the following credits or types of credits (with the current indicated internal ratings and expected maturities, which are weighted averages for those categories containing more than one exposure):
Description Net Par Outstanding ($000s) Current Internal Rating Maturity (yrs) PFI/PPP Availability – Public Buildings, Hospitals, Schools 270,368 bb 15.7 Puerto Rico exposures (including PREPA and GOs) 220,445 d 6.5 Military Housing Bonds (pre-insured) 147,315 bbb- 21.1 Sub Sovereign State, Region 136,848 bbb- 17.9 Toll Roads (International Public) > = 5 years of operating history 119,532 bbb- 6.7 Arkansas River Power Authority, CO—Electric Revenue Bonds 105,990 bb- 17.1 Power & Gas - International 100,000 a+ 6.8 City of Syracuse Industrial Development Agency 94,050 bbb- 6.3 City of Houston, TX – Water/Sewer Bonds 38,379 aa- 15.9 Port of Portland, OR – Airport Revenue Bonds 17,698 aa- 8.5 Tulare Local Health Care District, CA 14,655 b 14.3 JEA, FL Water and Sewer (Senior Lien) 9,025 aa 16.0 RMBS exposure (12 separate credits) 7,609 b- 0.9 Port of Tacoma, WA – Port Revenue Bonds (Subordinate Lien) 6,621 a+ 11.1 Detroit (City of), MI 3,515 {PAID} d 2.9 Collateralized Debt Obligation 2,185 c 19.9
In addition, SGI has the option to cede certain debt service reserve fund surety and interest rate swap policies for an immaterial additional premium payment.
Closing of the reinsurance transaction is subject to the receipt of required regulatory approvals, consents from certain third parties and other closing conditions, including New York Department of Financial Services approval of a payment of principal and accrued interest of at least $400 million on SGI’s surplus notes. The parties would expect to close the transaction no later than the end of the second quarter of 2018.
There can be no assurance that SGI will receive the required approvals or consents for the reinsurance or that the reinsurance transaction will close on the expected timeline or at all; neither can assurance be given as to the timing or the amount, if any, of payment on SGI’s surplus notes that the New York Department of Financial Services may approve.
Moelis & Company LLC is acting as financial advisor to SGI on the transaction and Debevoise & Plimpton LLP is acting as legal advisor to SGI
Thanks to your comments I purchased another 1000 at 3.05 this morning. I do the exact opposite of what you say and that has worked well for me so far. More money, more money more money.
News 
Market Data 
Discover 
