William W. "Billy" Cobbs, the legendary chairman of financial adviser Public ResourcesAdvisory Group, is recovering in Florida from a serious staph infection.
Cobbs, who served as New York City's assistant deputy mayor of finance during the 1970sfinancial crisis and negotiated the first public sale of New York securities after thecity lost market access in 1975, contracted the infection on a Christmas visit to hiswife's family in Miami. He spent more than two months at Mount Sinai Hospital there, butis now in outpatient rehabilitation, said PRAG co-president Steven Peyser. Peyser didnot know how Cobbs contracted the infection.
"It was a serious illness," Peyser said. "Everybody, of course, wants Billy to come backas soon as possible and we all miss him. He makes, obviously, a very valuablecontribution to our firm."
Fitch Ratings analyst Claire Cohen, a close friend of Cobbs, said she received a voicemail message from Cobbs last week saying he was out of the hospital.
"His voice sounded strong and he sounded like he was well on the road to recovery,"Cohen said.
Cobbs expects to be back to work in New York in the next month or two, said Peyser.
Staph, medical shorthand for staphylococcus bacteria, is a common organism. However,when it enters the human body, usually through an open cut or break in the skin, it cancause infection, including Toxic Shock Syndrome, pneumonia, endocarditis - infection ofthe inside of the heart - or blood poisoning.
According to Cohen, Cobbs had septicemia, or blood poisoning, caused by the staphinfection. The disorder is serious and sometimes fatal.
Cobbs founded PRAG in 1985, and has built the firm into the nation's top financialadviser by deal volume, providing services to New York State and California, along withmajor cities like New York, Los Angeles, Atlanta, and San Diego. Last year, PRAG servedas financial adviser on 145 deals with a total value of $31.4 billion, second only toPhiladelphia-based Public Financial Management, which worked on 898 deals for a totalvalue of $36.5 billion. PRAG has consistently placed second nationally in public sectorfinancial advisory rankings, compiled by Thomson Financial.
Among his most notable achievements, Cobbs advised New York City on its first sale ofbonds secured by revenues from the 1998 national tobacco settlement and served asproject manager on the first asset backed financing for the city's Transitional FinanceAuthority, where he continues to advise the $11.5 billion senior-debt program.
Cobbs' illness has not affected the firm's business, Peyser said, a view shared by NewHampshire Treasurer Mike Ablowich. Cobbs has served as ongoing financial adviser to NewHampshire since 1983.
"We're still getting the same great resources from the rest of the team. We do hope thathe gets better soon," Ablowich said.
In addition to his financial acumen, Cobbs is well known for his Southern accent and hisno-nonsense personality.
"He's someone who has strong beliefs and deeply held conviction and is always veryforthright about sharing them," said Peter Shapiro, managing director of Swap FinancialGroup.
Before becoming a financial adviser, Cobbs was responsible for helping to orchestrateNew York City's recovery from its 1970s financial crisis, negotiating a $4.5 billionrecovery financing through the Municipal Assistance Corp. and securing federal loanguarantees.
Cobbs also served as chairman of the Troy, N.Y., Municipal Assistance Corp. and adirector of the Northeast Alabama Economic Development Corp.
A graduate of Princeton, Cobbs served as assistant political coordinator for GeorgeMcGovern's 1972 presidential campaign.
