Project:  Proceeds from Series F refunded select maturities on previous CSU bond issues Series A (1996), Series B (1997), Series C (2000) and Series D (2002).  Proceeds from the Series A issue financed the following: various construction and renovation projects at all four campuses.  Series B provided additional financing for the Series A projects.  Projects funded by Series C proceeds included various construction and renovation projects at all four campuses, including energy conservation projects at Central CSU and improvements to the student centers at both Eastern CSU and Southern CSU.  The 2002 Series D transaction financed: renovations and additions to dormitories and constructed a garage at Central CSU, a parking garage at Eastern CSU, a new student center and dormitory renovations at Western CSU, and renovations to a dormitory at Western CSU.

Structure:  $49,475,000 Issue, Series F backed by the Special Capital Reserve Fund (SCRF) Program and credit insurance provided by Financial Security Assurance Inc. The variable rate bonds were issued with the same amortization schedule as the refunded bonds and level principal payments.

Closing Date:  February 18, 2004.

Results:  The Series F bonds were sold competitively with UBS Financial Services awarded the bid at 3.20%. The net present value savings for the issue was 3.74% of the refunded par amount, or $1,834,336.

Financing Team:  Citigroup Global Markets Inc.; Day, Berry & Howard LLP; Financial Guaranty Insurance Company; Public Financial Management; U.S. Bank, N.A.