State of Oregon General Obligation Bonds

We are pleased to offer Fidelity investors the opportunity to participate in the State of Oregon General Obligation Bond's upcoming $518 million offering.1

The State of Oregon (the "State") is expected to come to market with $518 million1 General Obligation Bonds (the "Bonds").

The Bonds are being issued to pay all or a portion of the costs of various State projects and to pay costs of issuing the 2019 Bonds, as described in the Preliminary Official Statement.

The Series A, Series B, and Series C Bonds (known as "the 2019 State Project Bonds") are being issued to (i) acquire, construct, remodel, and repair property owned by the State, and (ii) pay costs of issuing the 2019 State Project Bonds.

The Series D Bonds (known as the "2019 State Grant Program Bonds") are being issued to (i) finance all or a portion of the State share of costs to plan and implement seismic rehabilitation of public education buildings, (ii) finance all or a portion of the State share of costs to plan and implement seismic rehabilitation of emergency services buildings, (iii) provide Oregon school districts with matching grant funds to finance capital costs of certain School Districts, and (iv) pay costs of issuing the 2019 State Grant Program Bonds.

The Bonds are direct general obligations of the State, and the full faith and credit and taxing power of the State are pledged to pay the principal of and interest on the 2019 Bonds when due. The ad valorem taxing power of the State is not pledged to pay the 2019 Bonds.

The bonds are expected to be rated AA+, Aa1, and AA+ by S&P, Moody's, and Fitch, respectively.2

The bonds are subject to optional and mandatory sinking fund redemption prior to maturity as described in the Preliminary Official Statement.

Key benefits

The bond sale offers attractive benefits to individual investors, including prices and yields that match those available to institutional investors and the potential for stable income through the call dates. Series B and C bonds are federally taxable, while Series A and D bonds are federally tax-exempt. Oregon residents enjoy state tax-exemption on the bond coupon payments.

How to place an order

The offering is expected to price the week of February 11, 20191 although market conditions and/or the discretion of the issuer may alter the anticipated timeline. Individual investors can place orders online or by calling a Fidelity representative at 800-544-5372. To stay up-to-date on pricing, credit rating changes, and more, please sign up for Fidelity Alerts and see our Municipal Bond New Issue Offerings.

Additional resources

Municipal Bonds
Review the risks and benefits of investing in municipal bonds.

Municipal Bonds: Understanding Credit Risk (PDF)
Learn more about assessing credit risks when purchasing municipal bonds in this SEC investor bulletin.

Investing in a volatile bond market
Get the latest insights on the bond market, outlook for future rates, and investment strategies from Fidelity Viewpoints®.

MSRB - Risks and opportunities of interest rate movements
Read about the impact of market interest rate movement on municipal bond prices and yields from the MSRB Education Center.