The Manhasset School District has announced the successful refinancing of a portion of its outstanding long-term debt, resulting in gross savings on debt service of $480,200 to be realized over the next seven years. On May 1, the district sold $9,410,000 refunding bonds to refinance its outstanding 1997 and 2000 bond issues. This sale was pursuant to a "Refunding Resolution" approved by the board of education on March 6.

The district's financial advisor, Capital Markets Advisors, LLC, called the results "stellar," citing the district's strong "Aa1" credit rating as critical in achieving such a high level of savings. Moody's Investor Service, in reaffirming its assignment of an "Aa1" rating to the district's debt noted the rating reflects the "trend of structurally balanced financial operations which has resulted in solid reserve levels, and low debt burden."

Jaime Durando, director, Municipal Underwriting for RBC Capital Markets, one of four bidders on the deal, having finished in 2nd place in the bidding, said, "The rates received on the competitively bid bond issue were indicative of the strong credit position of the school district. The fact that less than 1 one-hundredth of one percent separated the top three bidders for the bonds demonstrates that the district's strong financials are well recognized by the marketplace." In terms of timing this sale, the school district was extremely opportunistic, coming to market at a time when a benchmark rate for "AAA"-rated credits with a 5-year maturity stood at approximately 3 percent while the average for that benchmark over the past year has been in excess of 3.35 percent." The closing for the refunding bonds is scheduled for May 20.