Home | Money News | Archives | Contact Us

Search This Site:

Home | Contact Us | News Archives | Resources



Guaranteed Notes Transactions

November 30, 2010, Alexandria, Va. – The National Credit Union Administration today released information on its two November offers of NCUA Guaranteed Notes. The two November transactions bring the total number of offerings to three completed since October. The offerings have met with strong investor demand and have raised proceeds totaling $13.1 billion to provide funding of deposits assumed by the bridge corporate credit unions. Below are details of the two November transactions.
The first transaction completed in November featured three classes of Senior Notes, issued in a single series, backed by commercial mortgage-backed securities.
 Class A1 – $613.2 million notes are backed by fixed rate securities and will pay a fixed-rate coupon of 1.60% per annum.
 Class A2 – $1.361 billion notes are backed by fixed rate securities and will pay a fixed-rate coupon of 2.90% per annum.
 Class A-PT – $1.786 billion notes are backed by fixed rate securities and will pay a fixed-rate coupon of 2.65% per annum.
The second transaction completed in November featured two series of Senior Notes backed by residential mortgage-backed securities.
 Senior I-A – $2.62 billion notes are backed by floating rate securities and will pay a floating-rate coupon of one-month LIBOR plus 0.37% per annum, subject to a maximum note interest rate cap equal to 7.00% per annum.
 Senior II-A – $2.862 billion notes are backed by floating rate securities and will pay a floating-rate coupon of one-month LIBOR plus 0.47% per annum, subject to a maximum note interest rate cap equal to 7.00% per annum.
The Senior Notes will receive monthly payments of principal and interest from cash flows of the related underlying securities. The timely payment of principal and interest due on the
National Credit Union Administration
1775 Duke Street
Alexandria, VA 22314-3428
www.ncua.gov
Media Contact: NCUA Office of Public & Congressional Affairs
Phone: (703) 518-6330
Email: pacamail@ncua.gov
notes is guaranteed by the NCUA, and that guaranty is backed by the full faith and credit of the United States.
Barclays Capital, New York, New York served as the sole structuring agent and bookrunner on both transactions. Purchase of the NGNs was also made available through a syndicate of co-managers and selling group members.
NCUA is the independent federal agency that regulates, charters and supervises federal credit unions. With the backing of the full faith and credit of the U.S. government, NCUA operates and manages the National Credit Union Share Insurance Fund, insuring the deposits of over 90 million account holders in all federal credit unions and the overwhelming majority of state-chartered credit unions.

Posted in finance | Tagged | Leave a comment