Ringgold refinances bond, saves $1.16M

By KRISTIE LINDEN
klinden@yourmvi.com
Ringgold School District has maintained its A1 credit rating for another year and it will save the district $1.16 million in interest after a bond is refinanced.
Jamie Doyle, managing director of PFM Financial Advisors, told the board last night that 48 bids were submitted by six financial underwriters during a competitive online bidding process last week.
The winning bid came from Janney Montgomery Scott and the bond will be refinanced at an interest rate just under 1.45%.
Doyle said it helps that Ringgold was looking to refinance during a time that interest rates are hovering near all-time lows.
“There was a lot of good competition and that drove your interest rate down,” Doyle said.
She explained that every time an underwriter claimed that winning bid, the time would be extended so the other firms could go back to their drawing boards to see how much their could lower their offers until Janney Montgomery Scott won.
Doyle said as her firm prepared for this bidding operation, the credit rating analysts she spoke to were “extremely complimentary” of Ringgold’s financial management and business office staff.

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