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07-1006Council File # � ' d�� Green Sheet # 3044690 �� Presented by 1 DETERMINING TO I��ARIABLE RATE DEMAND BONDS 2 IN THE FUTIJRE AND AUTHORIZING THE EXECUTION IN 2007 OF A 3 SWAP AGREEMENT WITH RESPECT THERETO 4 WHEREAS, the City of Saint Paul, Minnesota (the "City"), has outstanding bonds of its Taxable 5 Sales Tas Revenue Bonds, Series 1999A (RiverCentre Arena Project) (the "1999 Bonds"), which bear 6 interest at high rates of interest (for instance, 7.09% for the bonds maturing in 2025); and 7 WHEREAS, interest rates would be lower now if the 1999 Bonds were refunded, but they cannot 8 be optionally redeemed until May 1, 2009, and an advance refunding now would not produce sufficient 9 savings;and 10 WHEREAS, the City can achieve significant savings by determining now to issue tasable variable 11 rate demand refunding bonds (the "Refunding Bonds"), any time befare May 1, 2009, as current or 12 advance refunding bonds, and by entering into a swap transaction (the "Swap") under which a counterparty 13 promises to pay the City interest at such variable rate on the amount of the Refunding Bonds in return for 14 the City's payment to the counterparty of interest on such amount at a fixed rate; and 15 WHEREAS, by issuing variable rate Refunding Bonds together with entering into the Swap with a 16 notional amount equal to the principal amount of the Refunding Bonds for the same term as the Refunding 17 Bonds, the City has obtained an overall fixed rate payment obligation commonly referred to as a"synthetic 18 fixed rate" which is primarily determined by the fixed swap rate to be paid by the City pursuant to the 19 Swap; and 20 WHEREAS, such fixed swap rate may be in the range of 530%; and 21 WHEREAS, Minnesota Statutes, Section 475.54, Subdivision 16, permits a municipality to enter 22 into an agreement for an exchange of interest rates if the agreement either is with or is b aranteed by a 23 party whose equivalent obligations aze rated A+ or better by a nationally recognized rating agency, if the 24 municipality has determined to issue obligations; and 25 WHEREAS, the City may agree with the counterparty to pay sums equal to interest at a fixed rate 26 on an amount not exceeding the outstanding principal amount of the obligations at the time of payment, in 27 exchange for an agreement by the counterparty to pay sums equal to interest on a like amount at a variable 28 rate; and 29 WHEREAS, such agreement is not an"obligation" as defined in Minnesota Statutes, Chapter 475, 30 and a municipality may pledge to the payment of amounts due or to become due under the swap 31 agreement, including termination payments, sources of payxnent pledged or available to pay debt service 32 on the obligations ar from any other available source of the municipality; and 33 WHEREAS, the City has outstanding bonds of its Sales Tax Revenue Refunding Bonds (Civic 34 Center Project), Series 1996 (the "1996 Bonds") and has authorized to issuance of its Subordinate Sales a �-��o�o 35 Tax Revenue Bonds, Series 2007A and its Taxable Subordinate Sales Tas Revenue Bonds, Series 2007B 36 (collectively, the "2007 Bonds") which are scheduled to be issued on October 11, 2007; and 37 WHEREAS, the City anticipates reconstituting for the Refunding Bonds and the Swap the same 38 sources pledged by the City, RiverCentre Authority and Housing and Redevelopment Authority of the City 39 of Saint Paul to the 1999 Bonds, except the tax increment revenues which are no longer necessary, with the 40 same parity such pledged sources have with respect to the Series 1996 and with a pledge of such sources 41 senior to the pledge of such sources to the 20Q7 Bonds, except with respect to swap payments, if any, prior 42 to the issuance of the Refunding Bonds and swap termination payments; and 43 WHEREAS, the City previously entered into a similaz interest rate swap agreement relating to the 44 Refunding Bonds in July, 2005 and the terminated such interest rate swap in June, 2007; and 45 WHEREAS, the City anticipates using the debt service savings resulting from an early termination 46 payment to the City consistent with GASB Technical Bulletin 2003-1 or any future GASB statement or 47 portion that supersedes and/or replaces such technical bulletin; and 48 49 50 51 52 53 WHEREAS, the City received a joint proposal for such exchange of interest rates from RBC Capital Markets and Piper Jaffray & Co. through the entering into a separate interest rate swap agreement with each such firm with the same fixed swap rate and in an aggregate notional amount equal to the estimated initial aggregate principal amount of the Refunding Bonds (the "Interest Rate Swap Proposal"), which describes the swap agreement and its required terms in detail, and is attached hereto as Exhibit A and is hereby incorporated herein by reference; and 54 WHEREAS, the Interest Rate Swap Proposal provided for a swap with a party, or guaranteed by a 55 party, meeting the requirements of Minnesota Statutes, Section 475.54, Subdivision 16: 56 NOW, THEREFORE, BE TT RESOLVED by the City Council of the City of Saint Paul, 57 Minnesota, as follows: 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 l. Acce�tance of Swap Pro�osal; Determination to Issue RefundinQ Bonds. The City hereby accepts the Interest Rate Swap Proposal subject to the negotiation of, and agreement of the City to, the terms and conditions of all required agreements, other documents or requirements. The City hereby determines to issue the Refunding Bonds on or before May 1, 2009, to refund the 1999 Bonds, in the initial aggregate principal amount of $65,455,000, or such � or lesser amount as shall be sufficient to refund the 1999 Bonds to pay the call premium on the 1999 Bonds, to pay the costs of issuance and of the liquidity facility in the form of a letter of credit, and to establish a reserve, if required. The Refunding Bonds shall be variable rate demand bonds on which the interest rate varies weekly and is equal to approximately 100% of the London Inter-Bank Offering Rate ("LIBOR") on obligations maturing in a month and is paid on the first day of each month. The Refunding Bonds may have liquidity support from a bank and may have credit support from a bank or bond insurer. For purposes of the notional amount of the Swap, the Refunding Bonds shall mature on November 1 of the years and in the amounts set forth on Exhibit B attached hereto and hereby made a part hereof. The actual maturity years and amounts are dependent upon facts applicable at the time the Refunding Bonds are issued and will be determined by the subsequent final approving resolution of the City Council. 73 2. Approval of Agreement. Agreements for the exchange of interest rates consisting of the 74 applicable form agreements published by the International Swaps and Derivative Associarion ("ISDA") D � �s 76 77 78 79 80 81 with such additions and modifications required by the Interest Rate Swap Proposal (the "Swap Agreements") are hereby approved, and the Mayor or executive assistant to the Mayor and the Director, Office of Financial Services, are hereby authorized and directed to enter into the Swap Agreements with RBC Capital Markets and Piper Jaffray, with such changes thereto or completions thereof as such officers shall approve after review and comments from the office of the City Attorney and from Briggs and Mor�an, Professional Association, as special counsel to the City, and a fixed swap rate not in excess of that set forth in pazagraph 3. 82 3. Dele¢ation of Authoritv. The Mayor and Director, Office of Financial Services, may set the 83 fixed swap rate at the rate quoted by RBC Capital Markets and Piper Jaffray, provided that the fixed swap 84 rate on both Swap Agreements identified on the quotation shall be the same fixed swap rate and may not 85 exceed 530%. 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 4. Pled ee of Payment Sources; Dele�ation. Payments on the Swap Ageements, including any termination payments, shall be made from the City's general resources; provided that the Mayor and Director, Office of Financial Services, may provide in the Swap Agreement that the payment of a termination payment due on or before May 1, 2009, is limited as to source to a pledge of sales tax revenues on a basis subordinate to the 1999 Bonds, the 1996 Bonds and the 2007 Bonds; and provided further that the Mayor and Director, Office of Financiai Services, may provide in the Swap Agreements that payments, including termination payments, due after May 1, 2009, aze limited as to source to a pledge of the same sources of revenue that are pledged to the 1999 Bonds on the same basis of parity with the 1996 Bonds as for the 1999 Bonds, if and when such pledges on such basis are arranged. With respect to the 2007 Bonds, the pledge of sales tax revenues to the payment of termination fees under the Swap Agreement at any time and the payment of other swap payments, if any, priar to the issuance of the Refunding Bonds shall be subardinate to the pledge of such revenues to the 2007 Bonds and the pledge of sales tax revenues to payments under the Swap Agreement, other than termination payments, after the issuance of the Refunding Bonds shall be prior to the pledge of such revenues to the 2007 Bonds. The City hereby pledges to the payment of the Refunding Bonds and to the payment of amounts, including termination payments, under the Swap Agreement, its general resources or, if the Mayor and Director, Office of Financial Services, have provided in the agreement for limited payment sources, only those limited payment sources. Benanav Bostrom Hanis _ Yeas ✓ ✓ ✓ Adopted by CouncIl: Date �� Adoption Certified by Council Secretary B i r Approved y Da /� J7 b� � By: Requested by De ar ent � Office of Fi c� �"e "s By: Approved b� gi� of F� ancial Services By: Approved by ity Attorney ^� By: ��„--„" - Approv �g r for S �� ci�� BY: {� %�,�� I � � Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet � D��/00(O FS -F�a� s�� Contact Person & Phone: Bob Geurs 266-8837 must tte on Council Agend: 10-0CT-07 Doc.Type: RESOLUTION E-Document Required: N Document ConWct: Contact Phone: 03-OCT-07 y Assign Number For Routing Order Green Sheet NO: 3044690 a - anurne 3 or's Office Ma odAssistant 4 o¢nc� 5 ' Clerk CT Clerk Total � of Signature Pages _(Clip All Locations for Signature) Action Requested: To authorize an execution in 2007 of a swap agreement associated wiffi RiverCenter Arena debt. ivauons: Hpprwe �t�) or r Ptanning Commission CIB Committee Civil Service Commission 1. Has this personffirm ever worked under a contrad for this department? Yes No 2. Has this persoNfirtn ever been a city employee? Yes No 3. Does this person�rm possess a skill not normally possessed by any current city employee? Yes No Explain all yes answers on separate sheet and attach to green sheet 1�- �-07 Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why): The City has outstanding 1999A Sales Revenue Bonds. Through 2007 swap the City can secure fiirture debt savings associated with RiverCenter Arena debt. Advantages If Approved: The City will enter into swap agreement in 2007 to lock in debt service savings begining in 2009. Disadvantages If Approved: Risk associated with swap contracts if the contract needs to be terminated at a loss. Disadvanqges If Not Approved: The Ciry will lose an opportunity to lock in future debt service savings. Transaction: Funding Source: Financial Information: (Explain) CostlRevenue Budgeted: Activity Number: October 3, 2007 9:26 AM Page 1 T Y�i��.1/1 A � � n � SU 0 Q � �' Q � n = � O � (D � � � � � � � � rn `�. 3 � cp 00 � N � � � � � N n O � � �n� � �a�� rt — � � � � � a � z � +� N 0 0 � � � � Q �� O � � �- N � � X � � � � � � Sv X � CD < � C N O � � � � �. N � � � � \ / � O � � � C � � 0 �--r- � 07-/4d� N . O rt � a c� rt O � � Q. � �D n N Q . rr N � � �D � Q N �� rt � N < O si rt �D � � z � �D � . 7'1 O � a � �D Z � � � O � � O < �D � � � � � � � � � � O rr ' 0 � C n � y _ -�'y, C�� rt �D < �D O -„ N � < �� N � m K � N 0 0 � � 0 � 'r S �D � —h � � � �� -�i, � � �D � � � �D� N � � � CO � � �D N � K � �D < �D � _ �D � O � � N N y _ � X � a � er� � � K Q1 � cD a O � Q N �r O Q � K � rr ? � O 3 2 � � Q �D <� �D � Q � � �D O � � � � _ n rt C t�D � � //� . < � � (� � � � � C � n � N � � 0 � N � < �� N � � � O � �A � N � �� y tR � V N N �P � � .-. IV V W � 0 � . � � C'� � � � � � (Q � = <� �D � � rt � � �D �� D �D � C� � O � � n C � � 3 rt A� z � � n O 7 Q rt O� 3 � � O Q � C� �D � rr �D Q N � < 7� (� N N �D �D� N � � � � � � �D N � � K � � < �D � � �D � O � Q � �� N O O � N N _ rt �� D Q � rr �D � K � �' �D a 0 � Q N O Q � � O t � ? �D � � � 3 Q � C4 O � rt S � � y � � n rt C � W D�-/DOIr City of Saint Paul, Minnesota Taxable Sa/es Ta�c Revenue Bonds (Rivercentre Arena Project) Advance Refunding ot Series 1999A Series 1999A Call Date: 5-1-09 at 103% Sources & Uses Datetl 11/01/2007 � Delivered 11I01l2007 Sources Of Funds ParAmouM of Bontls ................................................. ..... . .................................. . .......... ............ ............................. .... .... 568.820,000.00 TotalSources .............................................................................................................................................................................. $68�820�000.00 Uses Of Funds Costsof Issuance ................................ ................................................... ..... .:......................... ....... ...... ........ . .............. 688.200.00 Gross Bond Insurance Premium 38.0 b .... ......... ........................... ....... ...... ...................... 439,336.75 � P) .... ..................... ........ SuretyBond ................... ............. ...... ........ ....................... .................. .... ........................ . .... ..... ..... ....................... 105.22125 Deposit to Net Cash Escrow Funtl . ....... ................................. .... ........ . .................... ......... ................................. ... 67.584.348.70 RoundingAmount .............. ................ ................... ...... ................................................................... ....... ........................ 2.893.30 TotaiUses .................................................................................................................................................................................... $68,820�000.00 AtivRe(untlSene51999A( I SINGLEPURPoSE I 9�11l2007 � 94]AM RBC Capital Markets Fixed Income Banking Page 1 // � City of Saint Paul, Minnesota Taxable Sa/es Tax Revenue Bonds (Rivercenfre Arena Project) Advance Refunding of Series 1999A Series 1999A Call Date: 5-1-09 at 103% Pricing Summary MaturiN Tyce of Bond Coupon Yield MatunN Value Price Dollar Pnce 11/Ot/2008 Serial Coupon 4.470% 4.470% 450,000.00 100.000% 450,000.00 1'I/01/2009 Serial Coupon 4.870% 4.870% �' 2,235,000.00 100.000% 2,235,000.00 11/01/2010 Serial Coupon 4.900% 4.900% 2,345,000.00 100.000% 2,345,000.00 1'1/01/2011 SerialCoupon 4.940% 4.940% 2,460,00000 100.000% 2,460,000.00 11/01/2012 SerialCoupon 5.090% 5.090% 2,580,00000 100.000% 2,580,000.00 1'I/Ot/2013 Serial Coupon 5.150% 5.150% 2,7'15,000.00 100.000% 2,775,000.00 11/Otl2014 Serial Coupon 5.260% 5260% 2,850,000.00 100.000% 2,850,000.00 1'I/0112015 Serial Coupon 5.300% 5.300% 3,005,000.00 100.000% 3,005,000.00 1 1 /0112 01 6 Serial Coupon 5.330% 5.330% 3,165,000.00 100.000% 3,165,000.00 11/01/2017 Serial Coupon 5.360% 5.360% 3,335,000.00 100.000% 3,335,000.00 11/01/2025 Term 1 Coupon 5.750% 5.750% 43,680,000.00 100.000% 43,680,000.00 Total - - - � $68,820,000.00 - $68,820,000.00 Bid Information Par AmouM of Bonds .... ....... ....................... ..... .... .............................. ....... ........ ........................ .... . ..................... $68,820.000.00 GrossProduction ................... ......... .......... ................... ................................... .... ................................ . ....... .... $68.820,000.00 Bid(�00.000%) ....................... ......... ........................ .... ........ ........................... ..... .. .................... ........... .... .... . 68.820,000.00 Total Purchase Price .................. ... .......... Bond Year pollars ................... .......... ........ . Avera9e Life .. . ...................... .. .... ... .......... Avera9e Coupon ............. ..... ......................... Net Interest Cost (NIC) . ...... True Interest Cost(TIC)... ... ..... ... $68,820,000.00 .... .................................... .......... $828,140.00 .. ........ ..... .................. .... ......... 12.033 Years ................ ..... ..... . ............................ 5.6506068% ........... ..... .................... ..... ..... ............................... 5.6506068% ...... ..... . .......................... ..... . ............................ ... 5 6307164% AtivRefuntl Se�ies 1999A ( I SWGLEPURPOSE I 9 �� 00] � 947AM RBC Capital Markets Fixed Income Banking Page2 � / // � City of Saint Paul, Minnesota Taxable Sa/es Tax Revenue Bonds (Rivercentre Arena Project) Advance Refunding of Series 1999A Series 1999A Call Date: �1-09 at 103% Debt Service Comparison Date Total P+I Fxistinq D/S Net New D/S Old Net D7S Savinas 11/01/2007 - - - - - 11/01/2005 4,254,758.50 7,766,074 00 6,020,832.50 6,170,730.50 749,898.00 17/Ot/2009 6,0'19,643.50 - 6,019,643.50 6,'169,656.50 150,073.00 11/Ot/2010 6,020,799.00 - 6,020,799.00 6,'170,990.50 150,191.50 1'I/01/2011 6,020,894.00 - 6,020,894.00 6,'173,338.50 152,444.50 1'I/Otl20'12 6,0'19,370.00 - 6,019,370.00 6,171,859.50 152,489.50 1'I/01/2013 6,023,048.00 - 6,023,048.00 6,171,214.00 148,166.00 1'I/01/2014 6,018,225.50 - 6,018,225.50 6,170,723.00 752,497.50 11/01/2015 6,023,375.50 - 6,023,315.50 6,174,707.50 t51,392 00 11/01/2016 6,024,050.50 - 6,024,050.50 6,173,226.50 t49,776 00 11/01/2017 6,025,356.00 - 6,025,356.00 6,174,253.50 148,89750 11/OV2018 6,021,600.00 - 6,021,600.00 6,171,747.50 150,147.50 11l01/2019 6,019,775.00 - 6,019,775.00 6,170,014.50 150,23950 11/01/2020 6,021,450.00 - 6,021,450.00 6,173,013.50 151,56350 11/01/2021 6,020,762.50 - 6,02Q762.50 6,173,874.00 153,11'I50 11/OV2022 6,022,137.50 - 6,022,137.50 6,171,300.50 149,16300 11/0112023 6,019,752.50 - 6,019,712.50 6,'169,229.50 'I49,5'17.00 11/01/2024 10,517,912.50 - 10,517,912.50 10,671,243.00 15$330.50 11/OV2025 10,522,125.00 - 10,522,125.00 10,671,518.50 149,393.50 Total $115,614,935 50 $1,766,074.00 $117,38'I 009.50 $120,092,641.00 $2,711,63'1.50 PV Analysis Summary (Net to Net) Gross PV Debt Service Savings............ Net PV Cashflow Savings @ 5.849�o(AIC) ....................... .......... .. .................. ......... .............. .... . .............................. Contingency or Rounding Amount ....... .... ..... ...................... ... .. ...............:..... ......... ........................ . ....... ............ NetPresent Value Benefit .............. .... ....... ........................... .......... .................. ....... .... .................... ....... .............. Net PV Benefit / $63.060,000 Refunded Principal .................... .... ..... ............. ... ... .... ................... ...... . ....... ............ Net PV Benefit /$68.820,000 Refunding Principal ......................... .... ................... ....... ..... .................... ...... ............. Refunding Bond Information RefundingDated Date .... .................................. ... ................................ .. ..... ............. ...... ..... ............... ..... .._. ..... RefuntlingDelivery Date ..... ..... ....... ......... .... ...... .... .......................... ......... . ................... ... ..... .................... . 1,719,592.56 1,719,592.56 2,893.30 $1,722,485.86 2 732% 2.503% 71/01/2007 11/01/2007 AW Refuntl Sen¢s 1999A ( � SMGLEPURPOSE � 9/11r2007 � 9 4l AM RBC Capital Markets Fixed Income Banking Page 3 A D��/a6(o City of Saint Paul, Minnesota Taxable Sales Tax Revenue Bonds (Rivercentre Arena Project) Advance Refunding of Series 1999A Series 1999A Call Date: 5-1-09 at 103% Escrow Fund Cashflow Date Prindpal Rate Interest Receipts Disbursements Cash Balance 11/0'Il2007 - - - 430.74 - 430.74 04/30l2008 566,000.00 5275% 1,636,178.13 2,202,178.13 - 2,202,608.87 O5/01/2008 - - - - 2,202,32825 250.62 10/31/2008 587,000.00 5.275% 1,621,249.88 2,202,249.88 - 2,202,530.50 11/0'I/2008 - - - - 2,202,32825 20225 04/30/2009 65,548,000.00 4.900% 1,605,926.00 67,'153,926.00 - 67,154,12825 OS/Ot/2009 - - - - 67,154,12825 - Total $66,695,000.00 - $4,863,354.01 $71,558,754.75 57�,558,784.75 - Investment Parameters Investment Motlel [PV. GIC� or Securities] ...... ................................ ..................... .... ...... ............... .......... ...................... Securities Default investment yieltl target ...................... .................... ...........................:................. ..................... ... ...................... Unrestricted Cash Deposit .. .................................. .. ........................... ...... .................................................. .... .... ................ ..... 430.74 Cost of Investments Purchased with Bond Proceeds ........... . ..... .... ................ .... .... . ................... ...... ................... 67,583,917.96 Total Cost of Investments ............................ ........ ................... ..... ...................... .... ...... ...................... ..................... 567.584,348.70 Target Cost of Investments at bo�d yietd ..... ........ ..... Actual posi6ve or (negative) arbitrege ........... .... ........ .... ...... .. .................... . ....... ...... ............. .. .... ...... ..................... .... ....... ............. . . u�65,923,405.62 (1,660,943.08) Yieltl to Receipt ........... .................. ............... Yieltl for Arbitrage Purposes .. ..................... .......... ............................... .... ........................ ... ..... .. ....... ....... . .... ..................... ..... ................... .... ... .............. 3.9788205% 5.7265197% AtivRefuntl Senes 1999A ( � SWGLE PURPOSE I 9 �� 00 � � 9.47AM RBC Capital Markets Fixed Income Banking Page 4 07-/DOIo N � < � � � _ � � �D i � � cD Q < � � � � � c� c � Q � � Q1 c � � � < �D G N � L �• � � 01 � Q. � � S � O � N a� �' (Q N � � e-h � � � v � � � � � rt � � n �� a � a � y � � � C� <D O � � _ � Q �� O � Q � � � � � � C �D �1 � �D � N � = 0 � � < �� y ff� � W � � � � < � �• � N � r A � tJt � W w � .�. � � O \° 0 ._. . � N _ � � � S �D N � � � � � � a � a � N �D < C) �D N � < (Q N . 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G� � N O ¢ � m " o v `� 4 y N � N � O � � N � tl� Vl ll� tA U Q 0 � � � 0 0 0 0 0 EA 6A Ef3 6? fFi w A A cn vi 0o w oo w �_n w cn O� N V p w V � w O�o O w � O 00 �1 �1 0o w O� Q� �1 W �O � J O A �O e e e e e W W A A V�i A 00 � �l N N �] cn O 00 00 0o A N o0 0o N O� �I 00 A cn ffi Ea9 fA fA En W W W W W 0 � � � � ° o o ° o ° o ° o 0 0 0 0 0 � 6A EsA £f3 ff] 69 � r � w A A A A .�i, O � O V O O O O O O w w w w w O O O O O O O O O O O O O O O (� � � � � � � y A �P A � vi O O O �n O O O O O O O O O O O 07 Debt Service Schedule LOC and Date Pnndpai Couoon Interest Ezoenses Totai P+I � 1/012009 11/O1/2010 1'I/01I2011 11/01/20�2 11/01/2013 11f01/2014 11/01/2015 11/01/2016 11/01/2017 11/01/2018 '11/01/2019 11/Ot/2020 11/01/2021 11/O1/2022 11/01/2023 11/01/2024 11/01/2025 City of Saint Paul, Minnesota Refunding of Series 1999A (RiverCenfre Arena Project) Fonvard Starting Swap on VRDB's 5.40% Swap Rate '1,745,000.00 2,165,000.00 2,290,000.00 2,420,000.00 2,560,000.00 2,705,000.00 2,865,000 00 3,030,000 00 3,205,000.00 3,385,000.00 3,580,000.00 3,790,000.00 4,005,000.00 4,235,000.00 4,475,000.00 9,235,OD0.00 9,765,000.00 5.400% 5.400% 5.400% 5.400°/ 5.400% 5.400% 5.400% 5 400% 5.400% 5.400% 5.400% 5.400% 5.400% 5.400°h 5.400% 5,400% 5.400% 1,767,28b.00 3,440,340.00 3,323,430.00 3,199,770.00 3,069,090.00 2,930,850.00 2,784;780 00 2,630,070 00 2,466,450 00 2,293,380.00 2,1'10,590.00 1,917,270.00 1,712,610.00 1,496,340.00 1,267;650.00 1,026,000.00 527,310.00 115,147.62 224,155.68 216,538.39 208,48'1.32 199,966.85 180,959 81 18'I ,442.60 17'I ,362 46 160,707 78 149,425.39 137,5'I5.69 124,919.91 111,58527 97.494.18 82,593.86 66,849.13 34,356.94 3,627,432.62 5,829,495.68 5,829,968 39 5,828,251.32 5,829,056.85 5.826,809.81 5,831,222.60 5,831,432.46 5,832,15178 5,827,805.39 5,828,105.69 5.832.189.91 5.829.195 27 5,828.834 18 5,825,243 86 10,327,849 13 10,326,666 94 Total $65,455,000.00 - $37,963,215.00 $2,473,496.88 �u705,891,711.88 Yield Statistics BondYear pollars ............ .... ......... ... .............. ..... ....... ........ ........... ....... . ....... .... ....... ... ................ ....... ....... ........ AverageLife ... ...... ........... . ..... ............. ................. ........ .... ......... .... ......... ....... .... .... .... .......................... .... AverageCoupon ......... ........ . ..... ........ ............ ........ ............. ....... ........:.......................................................... ..... . NetInterest Cost (NIC) ... ............. .. ......... .. ... ........ ....... .... ....... .... ........ ........ ......... .............. .... .. .. ........ ... TrueInterest Cost �TIC) .. ..... .. .... ....... ............ ............ .... ........ .... ........ �.... ...... .............. ................. .... .... ....... Bond Yield for Arbitrage Purposes ... .... ....... .... ....... .................. .. ...... ....... ......... ......... . ..... ..... ............ ......... ... AIIInclusive Cost (AIC) .. .............. . ............. ....... ...... .. ..... .............. .... ... .... ......... .. .......... .... .... ................ IRS Form 8038 NetInterest Cost .. ................. ................ ............... .. ..... ......... .... ..... . ...... .... .. .... .... ... ....... .. .......... .. ....... .... Weighted Average Matunly.... ..... ..._ . .... .. ... .. ........ .... ... , ....... . ...... ............. ........ ................. ... ........ .......... $703,022,50 10.741 Years 54000000% 5.4000000% 5.4000000% 5.7471750% 5.8488192% 5.4000000% 10 741 Years Refuntl Senes 1999A (From � SWGLE PURPOSE � 9/13200] � 53? PM RBC Capital Markets Fixed Income Banking Page t D �-/DOIo City of Saint Paul, Minnesota Refunding of Series 9999A (RiverCentre Arena Project) Forv✓ard Starting Swap on VRDB's 5.40% Swap Rate Debt Service Comparison Oate Totai P+I Net New D/S Old Nef D/S Savinas 11/01/2009 11/0'1/2010 1'I101/20'I "I 11/07/2012 11l01/2013 11/0112D14 11/01/2015 11/0'1/2016 11l01/2077 11l01f2018 11/01/2019 1 VOt/2020 11/01/2Q21 11/01/2022 11/01/2023 11/01/2024 71/01/2025 3,627.432.62 5,829,495.68 5,829,968.39 5,828,251.32 5,829,056.85 5,826,809.81 5,831,222.60 5,831,432.46 5,832,15778 5,827,805.39 5,828,105.69 5,832,189.97 5,829,195.27 S,S28,834.18 5,825,243.86 10,327,849.13 10,326,666 94 3,627,432.62 5,829,495.68 5,829,968.39 5,828,251.32 5,829,056.85 5,826,809 81 5,831,222.60 5,831,432.46 5.832.151.78 5,827,805.39 5,828,105.69 5.832,189.91 5,829,79527 5,828,834.18 5,825243.86 10,327,849 13 10,326,666.94 3,967,32825 6,170,990.50 6,173.338.50 6,171,859.50 6,171,274 DO 8,170,723.00 6,174,707.50 6, 973,226 5D 6,174,253.50 6,171,747.50 6,170,014.50 8,173,D'13_50 6,173,874.00 6,171,300.50 6,169,229 50 10,671,243.00 10,671,518.50 339,895 63 341,494.82 343,370.11 343,608.78 342,'157 'I S 343.9'13.19 343,484.90 347,794 D4 342,10172 343,942.1'i 341,908.8'I 340,823.59 344.678.73 342,466.32 343,985.64 343,393.87 344,851.56 Tota) $10.5,891,711.88 $10.5,891,71L88 $111,719,58225 $5.827,870.37 PV Analysis Summary (Net to Net) Gross PV Debt Service Savings .. ... ............................... ... .............. ...................... .... ....... .................. ......... .......... 5,515.979.49 Effects of changes in Credit Enhancement F�cpenses ........... . ..........._...... ...... ...... ....... ...... ...... ...... ....... ._.............._ (1.704,391 21) Net PV Ceshflow Savings Q 5 849Yo(AIC) .......... . ....... .... ... .. .......... ....... .... .. ...... ... . .... ......... ........ .................. ... .. 3,811.58829 Contingency or Rountling Amount .. .......... .............. .. ............... ...... ............... .. .... ...... . ......... 3200.00 . .... ...... ...... .... ......... . Net Present Value Benefif ....... .. .... .. ........... .... .. .... ..._.. .... . _.._. .._....... .._... .._..._..._... .. ._..._......_......_... . ... ._......... ... $3,874,788.29 Net PV Benefit / $63.060,000 Refuntletl Pnncipal.._.._ . .......... .._.. ... ...... ............... ... . _.. . ...._....._......... ......... ....... Net PV Benefit / $65,455.000 Refuntling Principal . ...... .......... ..... . ....... ...... ........... .. .... . .... .. ........ ...... .................... Refunding Bond Informafion Refundin9Dated Date ...... .......... .... ...... ....... ........... .... ... .............. ....... ..... .......... ... ....... ...... ......................... ....... ... RefundingDehvery Date .. .................... .... . . .. ........... ... .. ......._.. ..... . _... . . ...... . ...... . ...... .......... . ................... 6.048% 5.828% 5/01/2009 5/01I2009 RePontl Senes f999A (From � $INGLE PUftPOSE � 9/13200] � B33 PM RBC Capital Markets Fixed Income Banking Page 2 D?�/DDI� City of Saint Paul, Minnesota Refunding of Series 1999A (RiverCentre Arena Project) Forv✓ard Sfarting Swap on VRDB's 5.30% Swap Rate Debt Service Schedule LOC and Date PrinciAal Coupon Interest Ezoenses Total P+I 1 V01/2009 11/01/2010 11/OtY2011 11/01/2012 11f01/2013 11/0712014 1'I/Ot/2015 11/01/2016 11l01/2017 �Tro�rzo�a 14/07/2019 11/07/2020 11101/2021 11/01l2022 11/01l2023 71lOt/2024 77/01/2025 1,730,000.00 2,18Q000.00 2,310,000,00 2,435,000.00 2,575,000.00 Z,�zo,000.00 2,875,000.00 3,035,000.00 3,210,000.00 3,390,006.00 3,580,000.00 3,785,D00.00 4,000,000.00 4,220,000.00 4,460,000.00 9,215,000.00 9,735,000.00 5.300% 5.300% 5.300% 5.300% 5.300% s.soo� 5.300% 5.300% 5.300% 5.300% 5.300% 5.300% 5.300% 5.300% 5.300% 5.300% 5.300% 1,734,557.50 3,377,425.00 3,261,885.00 3,139,455.00 3,010,400.00 2,873,925.00 2,729;785.00 2,5Z7,390.00 2,416,535.00 2,246,405.00 2,066,735.00 1,876,995.00 1,676,390.00 1,464,390.00 1,240,730.00 9,004,350.00 575j955.00 115,136.49 224,186.77 216,517.45 208,390.79 199,824.38 190,765.44 18'I,196 38 '171,082.03 160,404.80 149,111.91 737.185.77 124,59120 111,275.44 97,2D3.30 82,35720 66,66676 34,248.07 3,579,693.99 5,781.8'i'1.77 5,788,402.45 5.782.845.79 5,785,224.38 5,784,690.44 5,785,961.38 5,783,472.03 5,786,939.80 5,785,516.91 5,783,920.77 5,786,58620 5,787,665.44 5,781,593.30 5,783,087.20 10,286,01676 '10,285,2D3.07 Totai $65,455,000.00 - $37,213,287.50 $2,470,144.18 $105,138,431.68 Yield SWtistics Bond Year pollars ........................................... AverageLife .................................................... Average CouPon ............................................. Net Interest Cosi (NIC) ............. True Interest Cost (TIC)..........., Bond Yield for ArbiVage Purpo: Ali Inclusive Cost (AIC) ............. IRS Form 8038 Net Interest Cost... Weighted Average $702,137.50 10 727 Years 5.3000000% .......................... 5.3000000 % .......................... 5.3000000°/ ........................... 5.6472201 % ................. ......... 5.7484991 °/ 5.3000000% 10.727 Years ftefuntlSenc�51999A(F�om � SINGLEPURPOSE � 9PI32007 � 5:33PM RBC Capital Markets Fixed Income Banking Page 1 07-/d0� City of Saint Paul, Minnesota Refunding of Series 1999A (RiverCentre Arena Projecf) Forward Starting Swap on VRDB's 5.30% Swap Rate Debt Service Comparison Date Total P+I Net New D/S Old Net D/S Savincls 1'Il01/2009 3,579,693.99 3,579,693.99 3,967,32825 387,63426 11f01/2010 5,781,611.77 5,781,6'i'1,77 6,170,990.50 389,37873 11/01/2011 5,788,402.45 5,788.402.45 6,173,338.50 384,936.05 11/Ot/2012 5,782,845.79 5,782,845.79 6,171,859.50 389,013.7'I 11/01/2013 5,785,224.38 5,785,224.38 6,171,214.00 385,989.62 11/01/2014 5,784,690.44 5,784,690.44 6,170,723.00 386,032.56 11/O1/2015 5,785,961.38 5,785,961 38 6,174,707.50 388,746.12 11/01/2016 5,783,472.03 5,783,472.03 6,173,226.50 389,754.47 11/Ot/2017 5,786,939.80 5,786,93980 6,174,253.50 387,313.70 '11/O1/2018 5,785,516.91 5,785,516.91 6,171,747.50 388,230.59 '11/01/20�9 5,783,920.77 5,783,920.77 6,'170,014.50 386,09373 '11/0112020 5,786,586.20 5,786,58620 6,173,013.50 386,427.30 11/01/2021 5,787,665.44 5,787,665.44 6,'173,874.00 386,208.56 11/01@022 5,781,593.30 5,781,593.30 6,471,300.50 389,�0720 11/012023 5,783,087.20 5,783,68726 6,t89,229,56 386,142.30 11l01/2024 10,286,01676 10,286,0"1676 10,671,243.00 385,22624 11l01/2025 40,285,203.07 10,285,203.07 10,671,518.50 386,315.43 Total $105,138,431.68 $105,138,431.88 $111,719,582.25 $6,581,150.57 PV Analysis Summary (Net to Net) Gross PV Debt Service Sav�ngs ............... ........ .............. ............ ..... ..... ....... ....... .... ................. ........ .................. ....... 6.042.448.94 EffecCS of changes in Credit Enhancemen[ Expenses ......................... .... ....... ............. ......... ....... .................. ....... ...... (1,712,442.01) Net PV Cashflow Savmgs @ 5.748%(AIC) .. ............... .... ................. .............. ... .... ....... .... ... ......... .... ....... ... ..... .... 4.330,006.94 Contirtgency or RourtUing Amount .... ... .... ........ ........ .... ........ ........ ............. ...... .. ..... ................... ........ ..... ... .. ....... 3200.00 Nek Present Yalue Benefii ......... ... .... ......... ............ .......... ....... .. ..... .......... ... ....... .... ........ ....... ................... ........ ..... $4.333.206.94 Net PV Benefit / $63,D60.000 Retunded Principal ......... .............. ........ ........ .... .. ..... .... ............ .... ... ............... ......... .... Net PV Benefit /$65,455,000 Refundin9 Principal ....... .... ....... ....... ..... ............. ................. .... .. ....... ................ ...... Refunding Bond Information RefundingDated Date...._. ..........._ ............... ..._ ........ ..._....................................... ............. .................._.. ......_...... RefundingDelivery Date .......... ... .... "___.... ..___... ....__.. _...._....__... ...__.. _.. .___ ...._.. ...__... ...___.. .._ ...__ .. __.. ... ...__... _... .. 6.872°k 6.62Q% 5/07/2009 5/OV2D09 RKwitlSeres1999A (Fmm I SINGLEPLRPOSE � 9/13200] � 53.�PM RBC Capital Markets Fixed Income Banking aa9e2 a�-�aa� City of Saint Paul, Minnesota Refunding of Series 1999A (River�entre Arena Project) Forv✓ard Starting Swap on VRDB's 5.20% Swap Rate Debt Service Schedule LOC and Date Prinaoal Coupon Interest Eepenses Total P+I 11/01/2009 1,720,000.00 5200% 1,701,830.00 115,�25.35 3,536,955.35 17/01/2010 2,200,000.00 5200% y 3,374,220.00 224,20026 5,738,420.26 �1/01/2011 2,325,000.00 5.200% 3,199,820.00 216,461.33 5,74�,281.33 11l01/2012 2,455,000.00 5200% 3,078,920.00 208,282.69 5,742,202.69 11/OV2013 2,590,000.00 5200% 2,951,260.00 199,64675 5,740,90675 11/01l2014 2,730,000.00 5.200% 2,816,580.00 190,535.92 5,737,115.92 11/O7/2015 2,890,000.00 5200% 2,674,620.00 180,932.62 5,745,552.62 11/01/2016 3,045,000.00 5200% 2,524,34000 170,766.48 5,740,106.48 11/O7/2017 3,215,000.00 5206% 2,366,060.00 160,055.10 5,741,05510 11/Ot/2078 3,395,000.00 5.200% 2,198,820.00 148,745.71 5,742,565.71 11/Ot/2019 3,580,000.00 5200% 2,022,280.00 136,803.14 5,739,083.14 11/07/2020 3,780,00000 5200°/ 1,836,120.00 124,209.80 5,740,329.80 11/O1/202'I 3,990,000.00 5200% 1,639,560.00 110,912.91 5,740,472.91 11/01/2022 4,210,000.00 5200% 1,432,080.00 96,$77.31 5,738,957.31 11/01/2023 4,440,000.00 5200% 1213,160.00 82,067.82 5,735,227.82 11/OV2024 9,190,000.00 5200°/ 982,280.00 66,44925 70,238,72925 11/01/2025 9,700,000.00 5200°h 504,400.00 34,121.64 10,23$521.64 Tokal $65,455,000.00 - $36,456;290.00 $2,466,794.08 $104,377,484.08 Yield Statistics BondYear pollars ................ ........ ............. ..... ......... ...... ...... ..... ............ ....... .... ..... ..... ..... ....... ..... .... .... $701.082.50 Avera9eLife .................. ...... ........ .................... ................ ...... ...... ............ ........ ... ............................ .................. ...... 10.711 Years AverageCoupon ......... ........ ........ ....... ..................................... ....... ............ ........ ......................... ..................... .......... 52000000% Net Interest Cost (NIC) ..................... .... ...... ..... ..... ...... ....... ...... ........ ............ ........ .... ........ ..... ..... .... ... 52000000% True Interest Cast (TIC) ...... ............. ....... .............. ...... ..... ......... ......... ...... ........ ............ ................ .... . ...... ...... .... 52000000% Bo�d Yield for Arbitrage PurPoses ...... ...... ....... ..... ..... ...................... ............ ........ ............ ..... ................. ...... .... 5.5472653% All Inclusive Cost IAIC) ............. ........ ...... ...... ..... .... ............. ....... ........ ............. .................... ........ ..... ............... 5.6481015% IRS Form 8038 NetInterest Cost ..... ....... . ...... ........... ...... ...... ................. ................. ............. ...... ........ ..... ...... ............. ...... ....... 52000000% Weightetl Avera9e Maturity ................. .... .... .... .............................. ....... ............ ...... ...... ....... .. .... ............... . 10.711 Years ReiuntlSene51999A (From � SINGLEPURPOSE � 9/13/200] � 532PW , RBC Capital Markets Fixed Income Banking Page 1 o7--/DD� City of Saint Paul, Minnesota Refunding of Series 1999A (RiverCentre Arena Project) Fonvard Starting Swap on VRDB's 5.20% Swap Rate Debt Service Comparison Date Total P+I Net New DfS Old Net D/S Savinqs 11101/2009 3,536,955.35 3,536,955.35 3,967,32825 430,372.90 11/01/2010 5,738,42026 5,738,42026 6,170,990.50 432,57024 71/01/2011 5,741,281.33 5,741,281.33 6,173,338.50 432,057.17 11/01/2012 5,742,202.69 5,742,202.69 ' 6,171,859.50 429,656.81 '11/01/2013 5,740,906.75 5,740,906.75 6,171214.00 430,30725 11lOt/2014 5,737,it5.92 5,737,115.92 6,170,723.00 433,607.08 1 V01/2015 5,745,552.62 5,745,552.62 6,174,707.50 429,154.88 11/01/2016 5,740,106.48 5,740,106.48 6,173,226.50 433,120.02 11/01/2017 5,741,055.10 5,741,05570 6,174,253.50 433,198.40 11l01/2018 5,742,565.71 5,742,565.71 6,171,74750 429,18179 11/01/2019 5,739,083.14 5,739,083.14 6,170,014.50 430,931.36 1V01l2020 5,740,329.80 5,740,329.80 6,173,013.50 432,68370 11l01/2021 5,740,472.91 5,740,472.91 6,t73,874.00 433,401.09 1VOV2022 5,738,95Z31 5,738,95731 6,171,3D0.50 432,343.19 '11/01/2023 5,735,227.82 5,735227.82 6,169229.50 434,001.68 11/01/2024 10,238,72925 10238,72925 10,671,243.00 432,513.75 1 V01/2025 1Q238,527.64 10238,521.64 ' 10,671,518.50 432,996.86 Totaf $104.377,484.08 $'104.377.484.08 $1T1,719,58225 $7,342,098t7 PV Analysis Summary (Net to Net) , Gross PV Debt Service Savings ................ ...... ........................ ......................... .... .............. .......... ...... ....... ........... ....... 6.574�323.13 Effects of changes in Credit Enhancement Expenses .... ........ .......... ...... .......... ............ .............. ......................... ............ (1,720,185.7� Net PV Cashflow Savings @ 5.648%(AIC) ... ................... ..... .................. .............. .. ......................... ..... ........... ....... ... 4.854,137 36 Conhn9encyor Rounding Amouni ....................... ............. .................. ................ ..... ..... ..... ........... ..... ........... ........... 3�200.OD Net Present Value Beneft . ............ ...... ................ ....... .......... ......................... ............................... ..... ... ...... ............ $4.857,337.36 Net PV Benefit / $63,060�000 Refunded PrinciPal ....... .... ..... ........... ...... ................... ...... ... ... .... .............. .............. ..... ... 7.703% Net PV Benefit / $65.455,000 Refunding Principal ............. ...... .. ........ ................ ........ ............ .... ..... .......... ................ 7.421% Refunding Bond Information RefundingDated Date ... ..... ....... .............................. ................... ...... .......... ...... ......... .............. .... ......... ............... 5/Ot/2009 Refunding Delivery Date .................. .... .......................... ..... ................ ................. .... ...... ...... ...... .. ....................... 5/01/2009 Refuntl5ene51999A(Fmm � SINGLEPURPOSE � 9/t3200� I 532PM RBC Capital Markets Fixed Income Banking paqe 2 D? /00 � City of Saint Paul, Minnesota Refunding of Series 1999A (Rive�Centre Arena Project) Fonvard Starfing Swap on VRDB's 5.10% Swap Rate Debt Service Schedule lOC and Date Pnncioal Coupon Interest Ezpenses Totai P+f '11/0'1/2009 '1,705,00000 5.100% '1,669,102.50 '115,"11421 3,489,2'16.71 11/0�/20t0 2,220,00000 5.100% 3,25�,250.00 224,231.33 5,695,481.33 17/0'1/2011 2,340,000.00 5.100°k 3,738,030.00 216,422.81 5,694,452.81 11/0'112012 2,470,000.00 5.100°/ 3,0'18,690.00 208,19220 5,696,88220 11/0'II2013 2,600,000.00 5.100°/ 2,892,720.00 199,504 33 5,692,224.33 11/01/2014 2,745,000.00 5.100% 2,780,'120.00 190,35921 5,695,47921 11/01/2015 2,800,000.00 5.100°/a 2,620,125.00 180,70408 5,700,82908 11/01/2016 3,055,000.00 5.100Yo 2,472,22500 170,50375 5.697,72875 17/01l2077 3,220,000.00 5.100% 2,316,420.00 759,75823 5,696,978.23 11/01/2018 3,395,000.00 5.100% 2,152200.00 148,432.35 5,695,632.35 11/01I2019 3,580,000.00 5.100% 1,979,055.00 136,490.93 5,695,545.93 11/01I2020 3,775,000.00 5.100°/ 1,796,475.00 123,898.81 5,695,373.81 T1/01l2021 3,985,000.00 5.100% 1,603,950.00 110,620.79 5,699,570.79 11/07/2022 4,200,000.00 5.100°h 9,400,715.00 96,604.14 5,697,319.14 11/Oi/2023 4,425,000.00 5.100% 1,186,515.00 51,83125 5,693,34625 N/Ot/2024 9,17Q000.00 5.100% 960,840.00 66,26696 10,197,10696 11/01/2025 9,670,000.00 5.100% 493,170.00 34,012 82 10,197,182 82 Total $65,455,000.00 - $35,711,602.50 $2,462,94820 $103,629,55070 Yield Statistics � BontlYear pollars ... ............... ................ ........... ...... .................. .. ..... .... .... .... ..... ........... .. ...... ............................ .. $700.227.50 Avera9e Life ........... .. .. ..... ...... ......... ....... .. ...... .......... .... .......... .... .... ......... . ......... .......... .. 10.698 Years ... .... ..... . ... .... ...... . Avera9eCouPon .......... ..... ........ ..... .... .... ... ..... .... ............... ............... ..... .......... ...... ......... .............................. 5.1000000% Net Interest Cost (NIC) ...... ......... ..... ......... ................ ......... .... ..... .............. .... .......... ......... ........... .......... ...... ... 5.1000000% True Interest Cost (TIC) .......................................... ........... .... ............................................. .......... .... ..... . . .......... ..... 5.1000000% Bond Yield for Arbitrage Purposes .......... .......... ..... .. .... ........ ............ ..................... ......... ...... ........ . ... ..... .. ..... 5 4473105% All Inclusive Cast (AIC) .... .... ......... ....... ........ ........... . ..... .... ........ ..... ..... ..... ..... .. ........... ..... ..... 5 5476805% ..... ........ .. ........ . IRS Form 8038 NetInterest Cost .... ..... ........ .... ......... ..... .. ....................... .... ......... ... .... .. ........... ......... ............... ....... .. .... 5.1000000% Weighted Average Maturity .. . ...... ...... ........... .................... .... ... ... ............................ ..... ..... .... .. ........... .......... 10.698 Years fte(undSene51999A(From I SWGLEPURPOSE � 9f1321O1 � 532PM RBC Capital Markets Fixed Income Banking Paye i ��-�oa� City of Saint Paul, Minnesota Refunding of Series 1999A (RiverCentre Arena Project) Forward Starting Swap on VRDB's 5.10% Swap Rate Debt Service Comparison Date Total P+I Net New D/S Oltl Net DIS Savinqs 11/01/2009 3,489,2'16.71 3,489,216.71 3,967,32825 478,'111.54 11/01/2010 5,695,481.33 5,695,481.33 6,�70,990.50 475,509.17 1'I/07l201'I 5,694,452.81 5,694,452.81 6,173,338.50 478,885.69 1'II01/2012 5,696,88220 5,696,88220 6,171,85950 474,977.30 11/01/2013 5,692,224.33 5,692224.33 � 6,171,21400 478,989.67 1'I/0'I/2014 5,695,47921 5,695,47921 6,170,723.00 475,24379 iVOT/2015 5,700,829.08 5,700,829.08 6,174,707.50 473,878.42 11/01/2016 5,697,728.75 5,697,72875 6,773,226_5D 475,497J5 11/01/2017 5,696,17823 5,696,17823 6,174,253.50 478,07527 11I01/2018 5,695,632.35 5,695,632.35 6,171,74750 476,'115.15 11l01l2019 5,695,545.93 5,695,545.93 6,170,014.50 474,468.57 1 V01/2020 5,695,373.87 5,695,373.81 6,�73,013.50 477,639.69 11/01l2021 5,699,570.79 5,699,570.79 6,173,874.00 474,30321 11/Ot/2022 5,697,319.14 5,697,319.14 6,171,300.50 473,981.36 '11/61/2023 5,693,34625 5,693,34625 6,169,229.50 475,883.25 11/01@024 '10,197,106.96 10,197,106.96 1Q677,243.00 474,136.04 11/01/2025 1Q197,182.82 1Q197,18282 1Q67L51850 474,335.68 Total $103,629,55070 $103,629,55070 $111,719,5ffi.25 $8,090,031.55 PV Analysis Summary (Net to Net) Gross PV Debt Service Savings ... ............... ............. ...................... . .... ..... ......... ......... ................ . ... . ......... ...... ..... 7�112�699.06 Effecfs of changes in Credit Enhancement ExPenses ...... .............................. ..................... ........ ..... .............................. .... (�.728,401.48} Net PV Cashflow Savings @ 5.548%(AIC) ...... ..... ......... ....... .... ...... ... ......'�....... ......... .......... .......... .... ................... 5.384.297 57 Contingency or Rounding Amount ... ..... ......... ...... .............. ..... Net Present Value Ber�eFt .. .. ..... ...... ................ .... .... ..... Net PV Benefit /$83,060,000 Refundetl Principal ... ................... Net PV Benefit /$65,455,000 Refunding Principal ......... ............ ... ..... ............... ................... 3200.00 .._ .... ...... ..... .......... .... ....... $5.387,497 57 ....... ....... .... ...... .. ...... ..... .. 8.543% .. ......... ...... .... ....... ......... ..... 8.231% Refunding Bond Information Refuntling Dated Date ........... ..... ..... Refunding Delivery Date ..... ... ......... ..... ... ...... .......... . .... .... ..... ..... ...... .... 5/01 /2009 ... ....................... 5f01Y1009 ReimtlSe�ES18B9A(Ffom � SINOLEPURPOSE � 9/13200] � 532PM � RBC Capital Markets Fixed Income Banking paqe2 b �-%DDlr City of Saint Paul, Minnesota Refunding of Series 1999A (RiverCentre Arena Projecf) Fon�vard Starting Swap on VRDB's 5.00% Swap Rate Debt Service Schedule LOC and Date Pnncinai Coupon Interest Fxpenses Total P+I 77/092009 i,695,000.00 s.000�,s 7,636;375.00 715,703.08 3,44&,478.08 11/01/2010 2,240,000.00 5.000% 3,'188,000.00 224,244.81 5,652,244.81 11/01/2011 2,360,000.00 5.000% 3,076,000.00 216,366.70 5,652,366.70 11/01/2012 2,485,000.00 5.000% 2,958,000.00 208,066.55 5,651,066.55 11/OV2013 2,615,000.00 5000% 2,833,75000 199,326J7 5,648,076.77 11/01/2014 2,755,00000 5.000% 2,703,000.00 190,129.75 5,648,129.78 11/Ol/2015 2,910,00000 5.000% 2,565,250.00 180,440.40 5,655,690.40 11/6l(2016 3,065,000.00 5.000% 2,419,750.00 170,205.89 5,654,955.89 11/01/2017 3,230,OD0.00 5.000% 2,266,500.00 159,42624 5,655,926.24 11/Ot/2018 3,400,000.00 5.000% 2,105,00000 148,066.29 5,653,06629 11I01/2019 3,580,000.00 5.000% 1,935,000 00 136,108.44 5,651,108.44 17/01/2020 3,775,000.00 5.000% 1,756,000.00 123,517.53 5,654,517.53 1VOV2029 3,975,000.00 5_000% 1,567,250.00 11Q240.81 5,652,490.81 11/Ot/2022 4,185,000.00 5.000% 1,368,500.00 96,260.68 5,649,760.68 11/Ot/2023 4,405,000.00 5.000% 1,159,250.00 81,541.97 5,645.791.97 17/01/2024 9,145,000.00 5.000% 939,00000 66,049.53 10,150,049.53 11/01@025 9,635,OOD.00 5000% 481,750.00 33,886,43 1Q15Q636.43 Total $65,455,000.00 - $34,958,375.00 $2,458,981.90 $102,872,356.90 Yield SWtistics BondYear pollars .... .... ..... .... ......................................... ...... ............. ..... ...... .... .... ..... ...... .. ...... ..... ..... ..... ........ Average li£e ... .......... .... .... ............................. ...... ........... ......... ..... ....... .. ...... .................. ..... ........ ......... ...... AveregeCoupon .......... ................. .... ..... ..... .......... .............. ........... .......... ......... ..... ...... ..................................... . NetInterest Cost (NIC) .... .... ............ ........... ..... ....... ... . .... .......... ................ ...... ........... .......... ........... ....... .... ..... True lnterest Cost (T�C) .. ..... .......... ..... ..... ....... .......... ....... ............ ..... . ..............,.... ...... ............... . ....... ....... ..... . ..... Bond Yield for Arbitrage Purposes .... ..................... .... ... ...... .......... .... ..... ......... ..... ..... ...... ....... .. . . .......... ..... AllInclusive Cost (AIC) .................... .. ..... ......... ..... ......... .... .......... ...................................... ...... .... ..... .. .......... IRS Form 8038 Net IMerest Cost ...... .............. Weightetl Average Maturity._... RefwrOSCnes 1999A(Fian � SINGiEPURPO$E � 9M31L07 � 531 PM RBC Capital Markets Fixed Income Banking $699,167.50 10.682 Years 5.0000000% 5.6000000% 5 0000000% 5.3473559% 5.4472859% 5.0000000% 10.682 Years Page 7 D°?�/DOI� City of Saint Paul, Minnesota Refunding of Series 1999A (RiverCentre Arena Project) Foro✓ard Starting Swap on VRDB's 5.00% Swap Rate Debt Service Comparison Date Total P+I Net New D!S . Old Net DIS Savinqs 1'I/Ot/2009 3,446,478,08 3,446,478.08 3,967,32825 520,850.17 11/01/2010 5,652,244.8'I 5,852,244.81 6,170,990.50 518,745.69 '11/01/2011 5,652,366.70 5,652,386.�0 6,'173,338.50 520.971.80 11/0112012 5,651,066.55 5,651,066.55 6,171,859.50 520,792.95 11/01@013 5,648,07677 5,648,07677 6,171,214.00 523,13723 11/01/2014 5,648J2978 5,648,129J8 6,170,723.00 522,59322 11/01/2015 5,655,690.4� 5,655,690.40 6,'q4,707.50 519,017'10 71/01/2016 5,654,955.89 5,654,A5589 6,173,226.50 518,270.61 11/0'V20t7 5,655,92624 5,655,92624 6,174,253.50 5'18,32726 11/01l2098 5,653,06629 5,653,06629 6,171,74750 518,68127 11f01Y1019 5,651,108.44 5,651,108.44 6,17Q01450 518,906.06 11l61f2020 5,654,St7.53 5,654,517.53 6,173,013.50 518,49597 11/01/2021 5,652,490.81 5,652,490.81 6,173,874.00 521,38319 11/01/2022 5,649,760.68 5,649,76068 6,171,300.50 521,539.82 11/01/2023 5,fi45,79'1.97 5,645,791.97 6J69,229.50 523,43Z53 11/01/2024 10,150,049.53 10,150,049.53 10,671,243.00 521,193.47 11/01/2025 10,150,636.43 10,150,636.43 10,671,518.50 520,882.07 Total $'102,872,356.80 $�02,872,356.90 $111,719,58225 $8,847,225.35 PV Analysis Summary (Net to Net) Gross PV Debt Senrice Savin9s ... ....................... ... ............. .............. ............ .. .... . .... . ........ ... ... ............... ..... .......... 7,656�540.86 ESects of changes in Credit Enhancement Expenses ....... ....................... .. .... ... ........... ........ .... .. .... ... ........ .. .... ...... .. (1,736,237.71) Net PV Cashflow Savin9s @ 5.447%(AIC) ... ....................... ...... ........ ........... .......... . .......... .. ...... . .......... .... .. .... .... 5.920.303.14 Cantingency or Rounding Amount .......................... ............ .................... ..................................... ...... .. ............................. 3.200.00 Net Present Value Benefit ........................................ ....... ........... ............. .................................. .. ..... .. ........... ..... . .... .... $5.923,503.14 Net PV Benefit / $63,060,000 Refuntled PrincipaL ....... .... .. ........ ...............__.. ............. ..........._... ... ......... ...._............ ........ 9.393% Net PV Benefit / $65,455.OD0 Retunding Principal. ..... ...._ ......... .... ....... ....... ..._...... ....... ................ ......... ............_.... 9.050% Refunding Bond Intormation RefundingDated Dffie ........... .... ....... .... ........ ........... .... ............ ................... ............ ............ .......... ......... ..... ........ .. 6l01/2009 RefuntlingDelrvery Date ....... ................ ....... .......... ..... ....... ....... .............. ...... ............ .. ..... ....... ....... ................... .... 5/01/2009 Refund Senes 1999A (From I SINGLE aURPOSE I 9 /�� I 531 PM RBC Capital Markets Fixed Income Banking Paye2 Eghibit S d � �� Notional Amount for Swap Refunding Bonds Date Principal 11/1/2009 1,730,000.00 11/1/2010 2,180,000.00 ll/1/2011 2,310,000.00 11/1/2012 2,435,000.00 11/1/2013 2,575,000.00 11/1/2014 2,720,000.00 11/1/ZO1S 2,875,000.00 11/1/2016 3,035,000.00 11/1/2017 3,210,000.00 11/1/2018 3,390,000.00 11/1/2019 3,580,000.00 I1/1/2020 3,785,000.00 11 / 1/2021 4, 00 0, 000.00 11/1/2022 4,220,000.00 11/1/2023 4,460,000.00 11/I/2024 9,215,000.00 11/1/2025 9,735,000.00 Total 65,455,000.00 R:�Arena Swap\ExhibzY B for resolution 2007.x1s