Guam – Bloomberg’s Municipal Markets Brief reports that Guam pays more than any other U.S. state or territory to access the Municipal Bond Market.
Highlights of the Brief are printed in Wednesday’s edition of the San Francisco Chronicle online which reports:
* Guam paid the most to tap the municipal bond market: $126,800 per $10 million.
* It cost Nebraska issuers an average of $114,000 to sell the same $10 million in bonds.
* Issuers in Delaware paid the least, only $49,200 per $10 million borrowed.
The paper also reports that the average underwriting cost across the entire municipal market was $6.43 per $1,000 bond.
The results reported by Bloomberg are based on the average cost of selling bonds by state, using the cost of issuance and underwriter discount disclosed in official statements, weighted by transaction size and expressed as a percentage.