The New Jersey Educational Facilities Authority yesterday approved nearly $740 million of borrowing for higher educational institutions, including a plan to restructure roughly $130 million of University of Medicine and Dentistry of New Jersey debt insured, in part, by Ambac Assurance Corp. and MBIA Insurance Corp.

UMDNJ officials plan in the fourth quarter to refund two series of floating-rate debt into fixed rate: Series 2001A auction-rate lease revenue certificates for $34 million with MBIA insurance, and Series 2002B variable-rate bonds for $95 million with Ambac insurance. Recent downgrades of the two monolines prompted UMDNJ and the authority to seek to refinance the debt, yet officials will issue the bonds after the university has completed its latest financial audit, according to NJEFA's executive director, Roger Anderson.

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