What is the opportunity?
The San Francisco Bay Area Rapid Transit District ("the District") is issuing $370 million1 in General Obligation bonds for the purpose of financing specific acquisition, construction, and improvement projects approved by the voters, to refund certain outstanding bonds and to pay certain costs of issuing the 2017 bonds.
The bonds are general obligations of the District and are payable from ad valorem property taxes levied on all taxable property within the District. No other revenues of the District are pledged to the payment of the 2017 bonds. The Bonds are rated Aaa by Moody's and AAA by S&P.2
Traditionally, municipal bonds will be subject to optional call features, and term bonds will generally have a Mandatory Sinking Fund feature. Please review the structure on the day of the pricing before placing an order.
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. And, for California residents, federal and state tax-exemption on the bond coupon payments.
How to place an order
The offering is expected to price the week of May 8,1 although market conditions and/or the discretion of the issuer may alter the anticipated timeline. Individual investors can place orders onlineLog In Required 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 AlertsLog In Required and see our Municipal Bond New Issue Offerings.