Denver Announces Sale of "007" Mini-Bonds

Denver Announces Sale of "007" Mini-Bonds

FOR IMMEDIATE RELEASE:
Tuesday, March 13, 2007
 
MEDIA CONTACT:
Alan Nuss, Sr. Financial Management Analyst, Department of Revenue
720-865-7152

 Denver Announces Sale of “007” Justice Center Mini-Bonds 

(DENVER)—With the help of a James Bond impersonator, Mayor John Hickenlooper, City Councilwoman Jeanne Faatz and Councilwoman Jeanne Robb joined Denver Justice Center and Denver Department of Revenue officials today to announce the sale of 2007—or “007”—Denver Mini-Bonds for a limited time between Monday, April 2 and Friday, April 6, 2007.

“In 2005, Denver residents approved the Justice Center initiative and voted to invest in the safety of our community. Now all Colorado residents have an opportunity to invest in their own financial future with more affordable, tax-free general obligation municipal bonds,” Hickenlooper said. “Diamonds may be forever, but 007 Denver Mini-Bonds are redeemable for twice their purchase price after 15 years.”

Following the success of previous bond issues, this is only the fourth time in its history that the City and County of Denver will offer Denver Mini-Bonds. Available only to Colorado residents, the 2007 Denver Mini-Bonds will help fund Denver’s new Justice Center complex, which was approved by voters in 2005. The new courthouse will be pictured on the bond certificates, making them a unique commemorative for bondholders.

“I want the small investor to be able to get the same, secure deal the institutional investor can,” Faatz said. “As individuals, it is important that we boost our savings rate to provide for our own futures. As citizens, we can be proud to participate in a crucial Denver project.”

Individual Colorado residents can buy 2007 Denver Mini-Bonds for only $500 each. Each bond will grow to $1,000 at maturity in 2022, a competitive annual tax-free yield of 4.75 percent*. For buyers in the 33 percent combined federal and Colorado tax bracket, that’s a taxable-equivalent yield of 7.09 percent. Denver’s general obligation bonds are rated Aa1/AA+/AA+ by Moody’s, Standard and Poor’s, and Fitch, respectively, the second-highest rating of investment-quality bonds.

“The downtown neighbors and businesses have been very supportive of this effort, and we hope Coloradans will take advantage of this opportunity to invest not only in justice, but in the architectural appearance and safety of our neighborhoods,” said Robb, in whose council district the Denver Justice Center complex resides.

The Justice Center complex, which includes a new courthouse, detention facility, and U.S. Post Office and parking garage, is located in downtown Denver between West Colfax Avenue and West 13th Avenue and Fox Street and Delaware Street. Construction is underway and is scheduled to be completed in late 2009.

To order 2007 Denver Mini-Bonds:

2007 Denver Mini-Bonds will be available for just one business week—from Monday, April 2 through Friday, April 6, 2007. All orders received during this period will be filled, but the City cannot fill orders either before or after the order period. Denver Mini-Bond orders must be paid for with an official bank check (cashier’s check). Bonds are available only to Colorado residents.

Citizens may also pick up a copy of the Official Statement at the City and County of Denver Department of Revenue, 144 West Colfax Avenue, in downtown Denver.

For more information about Denver Mini-Bonds and to request an order form, interested citizens can call 720-865-7154 or go online to www.denvergov.org/Treasury and click on the Denver Mini-Bonds link.

Since they are long-term investments—approximately 15 years—Denver Mini-Bonds and may be suitable for long-term financial goals, such as saving for a child’s education or for retirement. Investors may not be able to sell these bonds prior to maturity.

*For most initial purchasers, interest on the bonds (the difference between the initial purchase price of $500 and the $1,000 payable at maturity) is totally free from federal and Colorado income taxes. See the Official Statement section entitled “TAX EXEMPTION” for a detailed explanation.

The bonds are offered only pursuant to the Official Statement. Each prospective purchaser of the bonds should obtain and read carefully the entire Official Statement before deciding whether to purchase the bonds. This publication does not constitute an offer to sell or the solicitation of an offer to buy the bonds described above.

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Posted on Mar 13, 2007 (Archive on May 12, 2007)
Posted by chani  Contributed by chani
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