The Metropolitan Washington Airports Authority plans to come to market tomorrow with $163 million of variable-rate airport system revenue bonds backed by a standby bond purchase agreement from Landesbank Baden-Wurttemberg.

The debt will be sold in two subseries, $81.6 million of 2009A-1 bonds and $81.6 million of 2009A-2 bonds, rated AA by Fitch Ratings with a F1-plus short-term rating based on the standby bond purchase agreement.

Standard & Poor’s rates the deal AA-minus with a stable outlook. The agency gives a short-term rating of A-1.

The standby bond purchase agreement provides for the payment of the purchase price of tendered bonds during the weekly rate mode in the event the proceeds of a remarketing of the bonds, following an optional or mandatory tender, are insufficient to pay the purchase price, Fitch said.

The bonds will be issued in the weekly interest rate mode but may be converted to a daily rate, a flexible-rate or a term-rate mode. Morgan Stanley is remarketing agent.

MWAA last week sold $236 million of airport revenue bonds to Siebert Brandford & Shank. The bonds mature from 2010 through 2026, with term bonds in 2029. Yields range from 1.32% with a 3% coupon in 2010 to 5.27% with a 5% coupon in 2029.

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