What is the opportunity?
The State of California Department of Water Resources will come to market with $765 million1 in revenue bonds. The bonds are rated "Aa2" by Moody's and "AA" by S&P2.
The bonds are payable primarily from charges ("Bond Charges") to be imposed by the California Public Utilities Commission ("CPUC") upon the approximately 11.5 million bundled customers and certain direct access, departing load and Community Choice Aggregation customers in the service areas of three major investor-owned electric utilities in the State of California (see POS for more details). The bonds are being issued to refund certain outstanding Series 2008H Bonds and Series 2010L Bonds. The bonds are not an obligation of the State California.
The bond sale offers several attractive benefits for individual investors who are residents of California, including the potential for stable, tax-exempt income; priority allocation when bonds are issued; and prices and yields that match those available to institutional investors.
How to place an order
Individual investors may place orders starting Tuesday, March 311 . The sale may close early, due to market conditions or because all bonds may be allocated.