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Alabama Sells News Bonds For Industrial Incentives

The state teachers' organization, a mining company and an Indian tribe that operates casinos are among the top campaign contributions in Alabama for next year's elections.
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The state teachers' organization, a mining company and an Indian tribe that operates casinos are among the top campaign contributions in Alabama for next year's elections.

State officials are issuing $33 million in bonds to keep promises to new and expanding industries and refinancing nearly $140 million in old bonds to save $12 million.

Two state boards headed by the governor voted unanimously Wednesday to refinance $1.9 million in bonds sold in 2001 for improvements at state parks and $137.7 million in bonds sold between 2001 and 2005 to pay for incentives the state promised new and expanding industries.

The bonds had been at interest rates of 4.5 percent to 5 percent. Bernardi Securities will handle nearly $1.9 million of the refinancing at 1.95 percent interest. Bank of America Merrill Lynch will handle $137.7 million at 2.47 percent.

Bank of America Merrill Lynch will handle the $33 million in new bonds for 3.63 percent interest.

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