Gilt-edged Georgia has refinanced approximately $658 million of its outstanding general obligation bonds at lower interest rates that will save the state more than $35 million of debt service, including $18.3 million in the state’s current fiscal year, Gov. Sonny Perdue announced.
The triple-A rated refunding bonds were sold competitively Nov. 23 to Citi at a true interest cost of 2.86%, according to Thomson Municipal Market Monitor. The refunding bonds mature between 2016 and 2022 but are callable in 2019 at par. The bonds being refunded were originally sold between 2000 and 2007 with interest rates of 4% to 6%.